Source - LSE Regulatory
RNS Number : 9046M
NMCN PLC
24 September 2021
 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION (EU) NO 596/2014 WHICH IS PART OF UK LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018

 

24 September 2021

 

NMCN PLC

("nmcn" or "the Company" or "the Group")

Update on publication of the Group's annual report, the refinancing of the Group and proposed move to the standard segment of the Official List

 

Further to the announcement of 25 August 2021, the Company is pleased to announce it has successfully concluded discussions with Svella plc ("Svella") and certain other investors (together the "Equity Subscribers") to secure an extension to their respective commitments under the Equity Subscription. The Equity Subscribers have extended their commitment under the Equity Subscription conditional on both the Company publishing the prospectus, which will incorporate a circular to convene a general meeting to approve the proposed refinancing of the Group ("Prospectus"), by 1 November 2021 and completion of the proposed refinancing of the Group by 19 November 2021. No other material terms have been amended.

In addition, the Group's existing bank, Lloyds Bank plc, has agreed to extend the existing £11.8 million uncommitted overdraft to 5 November 2021 to enable publication of the Prospectus and completion of the refinancing of the Group.

The Company continues to work towards approval and release of the annual report for the financial year ended 31 December 2020, alongside its interim results for the period ended 30 June 2021, to enable the subsequent publication of the Prospectus within the new timetable agreed with the Equity Subscribers.  A substantial amount of work has been undertaken on the audit with material further work to be undertaken and as such there is no certainty that the above timelines will be achieved. Further announcements will be made as required.

Proposed move to the standard segment ("Proposed Transfer")

As part of the refinancing of the Group, it is now proposed that the Company transfer its category of equity shares listing from a premium listing (commercial company) to a standard listing (shares) on the Official List and trading on the Main Market of the London Stock Exchange. The Company has made the relevant application to the FCA under Chapter 5 of the Listing Rules. The Company will table the relevant additional resolutions at the general meeting that will be convened to provide the directors with the authorities to issue and allot new shares, and to dis-apply statutory pre-emption rights in connection with the Group's refinancing. The resolutions will be set out in the notice of general meeting to be contained in the Prospectus.

Rationale for the Proposed Transfer

After taking into consideration the size of the Company, its shareholder base and its strategy, the Board and Svella both believe that the additional requirements imposed by maintaining a Premium Listing are no longer in the best interests of the Company. The Proposed Transfer forms part of the long-term strategic plan of the Company which will facilitate more cost-efficient administration generally.

nmcn Plc - +44 (0) 1623 515 008

Ian Elliott, Chairman

Lee Marks, Chief Executive

Alan Foster, Chief Financial Officer

 

About nmcn

nmcn Plc (TIDM: NMCN) is a leading engineering and construction company in the UK. Its talented 1,700-strong team offers multi-sector engineering and construction skills, technical innovation, design, and specialist fabrication.

The Company delivers major built environment and water industry projects across the UK - from buildings and highways to large-scale water networks and treatment plants. With its history dating back to 1946, nmcn now has 12 UK offices and three off-site manufacturing facilities.

LEI Number:  213800ANYQVA5OS51A68

www.nmcn.com

 

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