("Welney" or the "Company")
Completion of Disposal; Shareholding in the Company
The Company acquired a 30% interest ARL and the issued share capital of B&B, whose sole business was the operation of a horizontal baling machine for recycling, in
As previously announced, it became clear to the Directors towards the end of 2014 that the operation of the baling machine was not going to be commercially viable for the Company. At around the same time, the Directors became aware that the funds required to develop ARL's recycling business could not be raised. In addition, the contract that ARL was expected to fulfil with a major airline was never started.
The Directors therefore resolved to dispose of the Company's interests in ARL and B&B and focus the Company's business on the recycling of rubber and plastics.
In connection with the Disposal:
Hugs General Trading LLC("HGT") has acquired the 234,500,000 ordinary shares in the Company originally issued to the Vendors; following this acquisition, HGT is interested in shares representing 15.17 per cent of the Company's issued share capital and the Vendors no longer have any interest in the Company; and
- The Vendors have agreed to acquire B&B and the Company's interest in ARL for a consideration of
GBP 50,000which has been paid to the Company in cash.
The proceeds of the Disposal will be used as additional working capital for the Company.
The Directors of the Company accept responsibility for the contents of this announcement.
Tel: +353 (0)861734543
Peterhouse Corporate Finance Limited
Tel: 020 7469 0930
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.