Loan Facility

RNS Number : 2289P

Kenetics Group Limited

13 July 2010

 



For Immediate Release

Kenetics Group Limited

(the "Company")

The Directors are pleased to announce that they have raised £300,000 by the issue of an interest-bearing  redeemable convertible loan, due 30 June 2012 (the "Loan"). Interest will be payable monthly at the rate of 12 % per annum.

The Loan may be converted on written notification ("Notice of Conversion") at any time after the expiry of the loan in whole or in part provided always that the total number of shares shall not at any time exceed 1% of the Borrower's total shareholding.  The conversion price is fixed at £0.05 per share

Ken Wong, Chairman and CEO of the Company, said:  "As previously announced with the Issue of Equity and Update on Contract with Singapore Land Transport Authority on 21 June 2010, the Company would need to raise a further £2.5 million of additional working capital to undertake the commercial roll-out of this project.

We are very pleased to put in place this Loan, which constitutes part of the medium term funding plans that the board are developing in line with the projected working capital requirements arising from the company's current and expected future contracts.

We look forward to building on the progress we've made so far in raising the additional working capital and the Directors believe that this will stand us in good stead to follow through and develop the significant opportunities in driving the business forward."

For further information contact:

Ken Wong, Chairman and CEO Kenetics Group Limited	Dominique  Doussot ZAI Corporate Finance Ltd
Tel: [phone]	(Nominated Advisor)
Website:www.kenetics-group.com	Tel: [phone]
Alex Mattey / Ian Callaway SVS Securities (PLC)	Jeremy Carey / Andrew Dunn Tavistock Communications Ltd
(Broker)	Tel: [phone]
Tel: [phone]

 

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