Update regarding Share Repurchase Programme

RNS Number : 1851I

MTI Wireless Edge Limited

13 April 2022

 

Dissemination of a Regulatory Announcement that contains inside information for the purposes of Regulation 11 of the retained UK law version of the Market Abuse Regulation 596/2014/EU.

13 April 2022

MTI Wireless Edge Ltd

("MTI" or the "Company")

Update regarding Share Repurchase Programme

MTI Wireless Edge Ltd. (AIM: MWE), the technology group focused on comprehensive communication and radio frequency solutions across multiple sectors, is pleased to provide an update in relation to its programme to conduct market purchases of its ordinary shares of par value 0.01 Israeli Shekels each ("Ordinary Shares") in the Company (the "Share Repurchase Programme"). 

The Share Repurchase Programme originally commenced on 28 January 2019, and was put in place until no later than 26 July 2019 and was subsequently extended until the end of August 2022. At a recent meeting, the board of directors of the Company decided to extend the Share Repurchase Programme until 31 March 2023, with the Share Repurchase Programme now being managed by Shore Capital Stockbrokers Limited ("Shore Capital") pursuant to the terms described below.  Purchases of Ordinary Shares under the Share Repurchase Programme will now be for an increased maximum value of up to £200,000.

The Company has entered into an arrangement with Shore Capital in relation to the Share Repurchase Programme where Shore Capital will make the trading decisions concerning the timing of the market purchases of Ordinary Shares independently of and uninfluenced by the Company, with such trading decisions being in line with the terms of the Share Repurchase Programme. Purchases may continue during any closed periods of the Company, as defined by the retained UK law version of the Market Abuse Regulation 596/2014/EU ("UKMAR"), which may fall during the term of the Share Repurchase Programme.  The Company reserves the right to bring a halt to the Share Repurchase Programme under circumstances that it deems to be appropriate and in accordance with relevant law and regulation.

Any market purchases will be conducted in compliance with the following restrictions regarding price conditions: 

· the maximum price (exclusive of expense) at which any Ordinary Shares may be purchased is the price equal to 105 per cent of the average of the middle market quotations of an Ordinary Share as derived from the London Stock Exchange Daily Official List for the five business days preceding the date of such purchase; and

· the minimum price at which any share may be purchased shall be 0.23p (being the Sterling equivalent of the par value of an Ordinary Share).

The Company intends to acquire Ordinary Shares under the Share Repurchase Programme through its wholly owned subsidiary, MTI Engineering Ltd. ("MTI Engineering"). Ordinary Shares acquired as a result of the Share Repurchase Programme will be held by MTI Engineering and in accordance with the Israeli Companies Law, 1999 will not have any voting rights.

An objective of the Share Repurchase Programme is that Ordinary Shares acquired by MTI Engineering will be resold, provided that this occurs under circumstances that the Board of MTI deems to be appropriate and in compliance with applicable law and regulation.  Cash generated from any eventual resales of Ordinary Shares acquired by MTI Engineering under the Share Repurchase Programme will be credited to an account held with Shore Capital and such cash may be used by Shore Capital to make future purchases of Ordinary Shares under the Share Repurchase Programme.

The Share Repurchase Programme will not necessarily comply with the safe harbour requirements set out under Article 5 of UK MAR and, accordingly, the Company may not at all times benefit from the exemption contained in Article 5 of UK MAR.  Furthermore, due to the limited liquidity in the Ordinary Shares, any market purchase of Ordinary Shares pursuant to the Share Repurchase Programme on any trading day could represent a significant proportion of the daily trading volume in the Ordinary Shares on AIM and could exceed 25 per cent. of the average daily trading volume, being the limit laid down in Article 5(1) of MAR.

The Company will announce any market purchase of Ordinary Shares pursuant to the Share Repurchase Programme without delay.

The Company confirms that, other than as disclosed in this announcement, it is not currently in possession of any unpublished inside information.

Commenting on the Share Repurchase Programme, CEO Moni Borovitz, said: "We are pleased that Shore Capital will now manage the Share Repurchase Programme on behalf of the Company. We believe that this programme has contributed to a significant increase in liquidity in MTI's shares and it is logical therefore for it to continue."

For further information please contact:

MTI Wireless Edge Ltd Moni Borovitz, CEO	[phone] http://www.mtiwirelessedge.com
Allenby Capital Limited (Nomad and Joint Broker) Nick Naylor/Alex Brearley/Piers Shimwell (Corporate Finance) Amrit Nahal/David Johnson (Sales and Corporate Broking)	[phone]
Shore Capital (Joint Broker) Toby Gibbs/John More (Corporate Advisory) Fiona Conroy (Corporate Broking)	[phone]
Novella (Financial PR) Tim Robertson/Fergus Young	[phone]

About MTI Wireless Edge Ltd. ("MTI")

Headquartered in Israel, MTI is a technology group focused on comprehensive communication and radio frequency solutions across multiple sectors through three core divisions:

Antenna Division  

MTI is a world leader in the design, development and production of high quality, state-of-the-art, and cost-effective antenna solutions including Smart Antennas, MIMO Antennas and Dual Polarity Antennas for wireless applications. MTI supplies antennas for both military and commercial markets from 100 KHz to 174 GHz.

Internationally recognized as a producer of commercial off-the-Shelf and custom-developed antenna solutions in a broad frequency range, MTI addresses both commercial and military applications.

MTI supplies directional and omnidirectional antennas for outdoor and indoor deployments, including smart antennas for 5G backhaul, Broadband access, public safety, RFID, base station and terminals for the utility market.

Military applications include a wide range of broadband, tactical and specialized communication antennas, antenna systems and DF arrays installed on numerous airborne, ground and naval, including submarine, platforms worldwide.

Water Control & Management Division  

Via its subsidiary, Mottech Water Solutions Ltd ("Mottech"), MTI provides high-end remote control and monitoring solutions for water and irrigation applications based on Motorola's IRRInet state-of-the-art control, monitoring and communication technologies.

As Motorola's global prime-distributor Mottech serves its customers worldwide through its international subsidiaries and a global network of local distributors and representatives. With over 25 years of experience in providing customers with irrigation remote control and management, Mottech's solutions ensure constant, reliable and accurate water usage, increase crops quality and yield while reducing operational and maintenance costs providing fast ROI while helping sustain the environment. Mottech's activities are focused in the market segments of agriculture, water distribution, municipal and commercial landscape as well as wastewater and storm-water reuse.

Distribution & Professional Consulting Services Division  

Via its subsidiary, MTI Summit Electronics Ltd., MTI offers consulting, representation and marketing services to foreign companies in the field of RF and Microwave solutions and applications including engineering services (including design and integration) in the field of aerostat systems and the ongoing operation of Platform subsystems, SIGINT, RADAR, communication and observation systems which is performed by the Company. It also specializes in the development, manufacture and integration of communication systems and advanced monitoring and control systems for the Government and defence industry market.

 

END

 

 

POSITMRTMTMBBBT