Cancellation of Repurchased Shares

RNS Number : 8004P

Impellam Group plc

30 October 2012

 

Impellam Group plc ("Impellam" or the "Company") (London AIM: IPEL - X October 2012)

Cancellation of Repurchased Shares

Following the recent completion of the capital reorganisation by the Company, the Company  subsequently formally cancelled 176,500 ordinary shares previously announced and purchased in the period July and August 2012.  Following this cancellation, the total number of ordinary shares admitted to trading on AIM was 43,888,400.

Issues with Certain Repurchases and Cancellations of Shares and Proposed Remedial Action

Following this cancellation of ordinary shares, the aggregate number of ordinary shares purchased by the Company and cancelled in the period September 2011 to September 2012 totals 1,109,193 ordinary shares.

However, the Company has recently discovered that certain administrative errors were made in relation to certain of these transactions.  In aggregate a total of 938,193 ordinary shares which were purported to be purchased and cancelled between September 2011 and September 2012 are affected (the "Affected Shares").   The remaining 171,000 ordinary shares which were purchased by the Company and cancelled in the same period are not affected and have been validly purchased and cancelled.   

The Company has been advised that, although the relevant errors were administrative in nature, the purported purchase and cancellation of the Affected Shares is void.  The Affected Shares remain technically in issue but the voting rights which attach to them are not capable of being exercised by any person.  The Company intends to take action to resolve this matter as soon as practicable.  Accordingly, the Company proposes, as soon as practicable, to effect a capital reduction so as to formally cancel the Affected Shares, with the aim of returning all parties to the position that was originally intended and which all parties believed to exist until the recent discovery of the relevant errors (the "Capital Reduction").  

The total number of the Company's ordinary shares in issue is therefore 44,826,593.  However, the total number of ordinary shares admitted to trading on AIM and capable of being voted is 43,888,400.

The Capital Reduction will require approval by the Company's shareholders and confirmation by the High Court.   Therefore, the Company intends to call a General Meeting to consider the relevant resolutions as soon as practicable.  Subject to the Company's shareholders giving such approval, the Company then intends to follow the required procedure to obtain the High Court's confirmation of the Capital Reduction.   The Company anticipates that, depending upon availability within the High Court's schedule for hearings, that the entire process will be completed and the Capital Reduction will become effective by the end of January 2013.

Notification of Shareholdings

The Company has been notified that, subsequent to the recent capital reorganisation, Lombard Trust, Impellam's principal shareholder, now holds 25,745,300 ordinary shares in the Company.

Further, Impellam has been notified that, subsequent to the recent capital reorganisation, the following Directors hold ordinary shares in the Company as follows: Cheryl Jones - 1,200,000; Andrew Burchall - 16,500; Andrew Wilson - 29,600.

None of the above shareholdings include any Affected Shares and so will not be changed by the Capital Reduction.

 

 

Enquiries:  For further information please contact the appropriate individual below.

Impellam Group plc
Cheryl Jones, Chairman Andrew Burchall, Group Finance Director	Tel: [phone]         Tel: [phone]
Cenkos Securities plc (Nominated Advisor and Broker to Impellam)
Nicholas Wells / Adrian Hargrave	Tel: [phone]
Threadneedle Communications
John Coles	Tel: [phone]

Note to Editors:

Impellam Group plc conducts business primarily in the UK and North America, with smaller operations in Australia, Ireland, New Zealand and mainland Europe. The Group employs nearly 6,000 people, including 2,200 managers and consultants and more than 3,500 support services workers, across a network of 230 branch and regional offices. The Group operates more than 15 specialty brands across a broad range of staffing sectors which are complemented by businesses in the outsourced support services sector. Impellam Group is ranked 19th on the Staffing Industry Analysts' 2012 Top Global Staffing Companies List.

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