Convertible loan agreement and drawdown

RNS Number : 2889P

Insig AI Plc

17 June 2022

 

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. It forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

17 June 2022 

Insig AI plc

("Insig AI" or the "Company")

Convertible Loan Facility Agreement and drawdown

Insig AI plc (AIM: INSG), the data science and machine learning group, is pleased to announce that it has entered into a new convertible loan facility agreement with David Kyte, a long-term shareholder in the Company (the "Agreement"). The key terms are the same as those agreed with Richard Bernstein, non-executive chairman of the Company, announced on 4 May 2022, save that Mr Bernstein is providing a facility of £1 million and Mr Kyte a facility of £0.5 million.

The loan is unsecured and repayable on or before 31 December 2022. Interest will accrue from the date monies are drawn down under the facility at a rate of 5.0 per cent. per annum, repayable in full at the end of the term.

The loan is redeemable or convertible at the sole discretion of Mr Kyte, at the earlier of the completion of an equity placing by the Company raising not less than £2.0m gross proceeds and 31 December 2022.

If converted, the conversion price will be the higher of 35.0 pence per ordinary share of the Company and the prevailing share price at the date of conversion.

Cash drawn down under the Agreement will be in tranches as required by the Company. An initial tranche of £0,2 million has been drawn down by the Company.

A second tranche of £150,000 has today been drawn down on the convertible loan facility provided by Richard Bernstein, meaning a total of £0.4 million has now been drawn down under that facility agreement.

Colm McVeigh, Chief Executive of Insig AI, commented: "I am pleased that David, a long-term supporter of the Company, has approached us to add to our funding options. As we continue to strengthen and deepen our pipeline, this funding will provide further financial flexibility while we continue our discussions with prospects, customers and potential partners."

For further information, please visit www.insg.ai or contact:    

Insig AI plc Colm McVeigh (CEO)	Via SEC Newgate
Zeus (Nominated Adviser & Broker) David Foreman / James Hornigold / Danny Phillips	[phone]
SEC Newgate (Financial PR) Robin Tozer / Richard Bicknell	[phone] [e-mail]

 

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