Notice of GM

RNS Number : 1710M

KRM22 PLC

04 January 2019

 

KRM22 plc

("KRM22" or the "Company")

Notice of General Meeting

KRM22 plc, (AIM: KRM) the technology and software investment company that focuses on risk management for capital markets, will today send to shareholders a notice (the "Notice") of General Meeting (the "General Meeting") of the Company.

KRM22 was listed on AIM in April 2018 as an investment company with a clearly defined investment policy and, since admission to AIM, the Company has completed three acquisitions and investments in line with its investing policy. The Directors have generated a strong pipeline of potential acquisitions, which are in varying stages of negotiation and due diligence.

In the Board's experience, target companies are reluctant to publicly announce the sale of their business and then experience a further delay to completion as a result of the requirement for a general meeting and shareholder approval to complete (which may arise in the event that shareholder authority to allot shares is needed as share consideration and/or an issue of shares for cash for cash consideration). The target companies see this notice period and approval as a perceived risk to the sale as it destabilises their teams and customer relations with a possibility that the deal does not get approved and therefore not complete. This is particularly true for non-UK businesses unfamiliar with the UK's processes.

The Board believes that the best solution to this is to therefore seek shareholder approval for new shareholder authorities, in order to move quickly to completion when any proposed acquisition or investment is agreed and to be in a position to utilise share authorities.

As of today, the Directors are working to complete a number of potential acquisitions that may require an issue for shares for consideration and/or an issue of shares for cash. The authorities sought at the General Meeting will enable those acquisitions to complete in an expeditious manner, subject to completion of satisfactory due diligence and agreeable terms.

There can be no certainty that the Directors will utilise this authority. Moreover, there is no certainty that any of the target acquisitions in the pipeline will complete nor that the Company will issue any equity at all.

The Directors consider that the resolutions set out in the Notice are in the best interests of both the Company and its shareholders. The Directors who hold shares will be voting in favour of all of the resolutions, and unanimously recommend that shareholders do so as well.

The General Meeting will be held at the offices of finnCap at 60 New Broad Street, London EC2M 1JJ on 21 January 2019 at 9.30 a.m. The Notice to be sent to shareholders is available on the Company's website: www.krm22.com 

For further information please contact:
KRM22 plc	via FTI Consulting LLP
Keith Todd CBE, Executive Chairman and CEO
Karen Bach, COO
finnCap Ltd (Nominated Adviser and Sole Broker)	[phone]
Carl Holmes / Kate Bannatyne - Corporate Finance
Alice Lane / Sunila de Silva - ECM
FTI Consulting LLP	[phone]
Matt Dixon / Jamille Smith / Debbie Oluwaseyi Sonaike

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.

Ends

About KRM22 plc

KRM22 is a closed-ended investment company which listed on AIM on 30 April 2018. The Company has been established with the objective of creating value for its investors through the investment in, and subsequent growth and development of, target companies in the technology and software sector, with a focus on risk management in capital markets.

Through its investments and the Global Risk Platform, KRM22 helps capital market companies reduce the cost and complexity of risk management - a fundamental challenge that erodes their profitability and constrains opportunities to generate alpha.

Through the KRM22 Global Risk Platform, KRM22 offers a modular application portfolio addressing risk management challenges across risk domains, covering market, regulatory, technology and operations risk, and across these domains as enterprise risk to assess, monitor and manage the increasing correlation between them.

Capital markets companies' partner with KRM22 to optimize risk management systems and processes to improve profitability and expand opportunities to increase portfolio returns by successfully leveraging risk as alpha.

KRM22 PLC is listed on AIM and the Group is headquartered in London, with offices in several of the world's major financial centres.

See more about KRM22 at KRM22.com.

 

END

 

 

NOGUOUBRKRAARAR