Share transactions in Remote Monitored Systems plc

RNS Number : 2264G

Braveheart Investment Group plc

23 November 2020

 

23 November 2020

Braveheart Investment Group plc

("Braveheart" or the "Company")

Further Re. Share transactions in Remote Monitored Systems plc

The Board confirm that following a series of share sales the Company no longer has a holding in Remote Monitored Systems plc ("RMS"), as was announced on 18 November 2020. 

The original intention of the Board had been to hold the RMS shares received as consideration for the sale of Pharm2Farm Limited ("P2F") as stated in an announcement issued by the Company on 21 August 2020.  The closing mid-market price of a RMS share on 20 August 2020 was 0.38p.  However, in the interim, a separate and unrelated investment owned by the Company, Paraytec Limited, made progress requiring further significant capital commitment from the Company, as announced on 16 October 2020 and 10 November 2020.  As a result of selling a part of the Company's holding in RMS, as announced on 9 November 2020, the Company was able to meet this funding requirement.  The cash now allocated to this project is expected to be sufficient to take the project through to a point where the product is ready for commercial launch in the UK within the first half of 2021.

Thereafter it became apparent that there was significant demand from the market for shares in RMS at a valuation significantly above the expectations of the Directors at the time of the sale of P2F.  The Directors concluded that it would be in the Company's interest to sell its entire holding in RMS should the RMS share price remain at such levels. As a consequence, the remainder of the holding was sold in the market as announced to the market on 18 November 2020. 

As stated on that date, the Board will consider a variety of options for the use of the net proceeds and inform shareholders in due course and as appropriate.   The gross proceeds from the sale of RMS shares were £17.42 million.  The Board is currently consulting its advisers in order to ascertain what the net proceeds are expected to be taking into account the level of any tax payable and will inform shareholders in due course.

Details of the Company's investing policy can be found on the Company's website at https://braveheartgroup.co.uk/investor-relations/investing-policy/.

For further information:

Braveheart Investment Group plc Tel: [phone] Vivian Hallam, Director Allenby Capital Limited (Nominated Adviser and Joint Broker) Tel: [phone] David Worlidge / James Hornigold Peterhouse Capital Limited (Joint Broker) Tel: [phone] Heena Karani / Lucy Williams

 

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