Placing and Managed Services Update

RNS Number : 2115O

Westminster Group PLC

04 August 2014

 



                    4 August 2014

Westminster Group Plc:

Placing and Managed Services Update

The Board of Westminster Group plc ("Westminster" or the "Company") is pleased to announce a placing to institutional investors to raise £1,250,000 (before expenses) by the issuance of 3,125,000 new ordinary shares of 10p each (the "Placing Shares"), at a price of 40p per share (the "Placing"). The Placing Shares represent approximately 6 per cent. of the enlarged issued share capital of the Company.

The Placing will expand the Company's capital base and proceeds will be used primarily for the ongoing expansion of its Managed Services division and as a precautionary measure to mitigate any potential disruption to the Company's cash flows in the unlikely event the current Ebola outbreak in West Africa adversely impacts air traffic to the region. Whilst serious disruption is currently not expected the Board considers this Placing to be a prudent measure in the best interests of the Company and its shareholders.

The Placing Shares are being issued under existing authorities to issue and allot shares in the Company. Application will be made for the Placing Shares to be admitted to trading on AIM. It is expected that admission will become effective and that trading in the Placing Shares will commence on or around 11 August 2014 ("Admission").

Total Voting Rights 

The Placing Shares will rank pari passu with the existing shares of the Company. The rights attaching to the Placing Shares, including as to voting, are the same as those of the Existing Ordinary Shares. Following this issue, the total issued share capital of the Company consists of 51,297,412 Ordinary Shares of 10p each with voting rights. The Company does not hold any ordinary shares in treasury. Therefore, the total number of voting rights in the Company is 51,297,412 and this figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

Airport Managed Services Business Update

Customer interest in this division continues to grow and sales situations are progressing with several now reaching advanced stages.  The majority of the Company's near term pipeline of business relates to regions which are geographically very distant from the current Ebola outbreak and are therefore unlikely to be affected by it.

Westminster continue to deliver an improving security and safety service and the Company have been requested by governmental organisations to provide additional services around the management of the Ebola risk for travellers. This is expected to have no major financial impact but demonstrates the high regard Westminster has achieved as a reliable and trusted organisation. Furthermore the Company is encouraged by further increasing operational efficiency in the division.

For further information please see the Company's web site, www.wg-plc.com, or contact:

Westminster Group plc	Tel: [phone]
Peter Fowler (Chief Executive)
Ian Selby (Chief Financial Officer)
S. P. Angel Corporate Finance LLP (NOMAD and Broker)	Tel: [phone]
Stuart Gledhill/Katy Birkin
Winningtons Financial (Financial PR)	Tel: [phone]
Tom Cooper/Paul Vann	0797 122 1972

Notes:

Westminster Group plc is a leader in the supply of system solutions and products to the security, defence, fire protection and safety markets worldwide.

Westminster's principal activity is the design, supply and ongoing support of advanced technology security solutions, risk assessments and close protection services. These can range from product only assignments, such as the supply of specialised scanners, to the design and implementation of an integrated system solution such as a border detection and surveillance system. The majority of its customer base, by value, comprises governments and government agencies, non-governmental organisations and blue chip commercial organisations.  For further information please visit www.wg-plc.com

 

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