Braveheart Investment Group plc Disposal of interest in Gyrometric Systems Limited (2360B)
June 09 2021 - 1:01AM
UK Regulatory
TIDMBRH
RNS Number : 2360B
Braveheart Investment Group plc
09 June 2021
The information contained within this announcement is deemed by
the Company to constitute inside information stipulated under the
Market Abuse Regulation (EU) No. 596/2014. Upon the publication of
this announcement via the Regulatory Information Service, this
inside information is now considered to be in the public
domain.
9 June 2021
Braveheart Investment Group plc
("Braveheart" or the "Company")
Proposed disposal of interest in Gyrometric Systems Limited
The Company announces that it and Remote Monitored Systems plc
("RMS") (AIM: RMS) have on 08 June 2021 entered into a share
purchase agreement ("SPA") with the founders of Gyrometric Systems
Limited ("Gyrometric"), being David Orton, Dr Paul Orton and Dr
Janet Poliakoff (the "Founders") for the return of control of
Gyrometric to the Founders. Under the terms of SPA, the existing
shareholders' agreement between the Founders, Braveheart and RMS
will be terminated, there will be a reorganisation of the share
ownership of Gyrometric (the "Reorganisation") and both RMS and
Braveheart will write off their existing loans to Gyrometric, of
which Braveheart's loan totals GBP39,200.
Following the Reorganisation, the Founders will have a 75.1%
interest in Gyrometric and Anthony Ferguson, a non-executive
director, will retain 3.47%. Braveheart's current 19.5% interest in
Gyrometric will reduce to 6.43% following the Reorganisation and
RMS's interest will reduce to 15%.
The termination of the shareholders' agreement and the
Reorganisation is conditional on the approval of shareholders of
RMS at a general meeting of RMS, which it will be convening shortly
to be held in early July. Further announcements will be made at the
appropriate time.
The book value of Braveheart's investment in Gyrometric,
including the loans, as at 30 September 2020 was GBP0.2 million
and, given the situation, this is expected to be written down to
GBP1 in the Company's accounts to 31 March 2021 should RMS's
shareholders vote in favour of the resolution at its general
meeting.
The Directors of Braveheart consider that Gyrometric has some
world class technology and a number of potential opportunities
exist to exploit this intellectual property. However, it would have
required a significant investment over the next 12 months to take
advantage of these opportunities. As a consequence, the Boards of
Braveheart and RMS have reluctantly concluded that the best
approach is to return control of Gyrometric to its Founders and to
retain a minority interest.
Trevor Brown, CEO, commented: "The decision to enter into the
SPA was not instigated by Braveheart, however, as a minority
shareholder we were limited in our ability to effect an alternative
arrangement."
For further information:
Braveheart Investment Group plc Tel: 01738
587555
Trevor Brown CEO
Allenby Capital Limited (Nominated Tel: 020
Adviser and Joint Broker) 3328 5656
David Worlidge / James Reeve / George
Payne
Peterhouse Capital Limited (Joint Tel: 020
Broker) 7469 0936
Heena Karani / Lucy Williams
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END
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