TIDMIPO TIDMIVO
RNS Number : 0145P
IP Group PLC
25 August 2017
THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR
DISTRIBUTION IN WHOLE OR IN PART IN OR INTO THE UNITED STATES OR
IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A
VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT
JURISDICTION.
25 August 2017
Update on Offer for Touchstone Innovations plc ("Touchstone")
and Capital Raising
1. Update on Offer timetable
IP Group plc ("IP Group") notes the statement released today by
the Takeover Panel relating to the timetable for the offer (the
"Offer") by IP Group for Touchstone.
The proposed transaction is currently in the final stages of the
pre-notification process with the CMA following which the formal 40
business day Phase 1 review period by the CMA shall commence. This
is anticipated to occur shortly.
The Offer timetable has been frozen to allow for the
pre-notification process to be concluded, formal notification to
take place and the normal CMA Phase 1 review of the Offer to be
conducted within the Offer timetable. As stated in the Takeover
Panel's statement, Day 39 of the Offer timetable will be extended
to the second day after the announcement of the CMA's decision
following its Phase 1 review. A further announcement will be made
at the appropriate time.
The Offer remains subject to certain of the conditions set out
in Part A of Appendix I of the offer document sent by IP Group to
Touchstone shareholders on 18 July 2017 (the "Offer Document"),
including the CMA clearance condition set out in paragraph 1(E) of
Part A of Appendix I of the Offer Document.
In view of the freezing of the Offer timetable above, and in
accordance with Rule 34.1 of the Code, if the Offer has not become
unconditional as to acceptances before 6 October 2017 an accepting
Touchstone shareholder will be entitled to withdraw his acceptance
of the Offer by written notice in the manner referred to in
paragraph 3 of Part B of Appendix I of the Offer Document from that
date until the earlier of (a) the time that the Offer becomes or is
declared unconditional as to acceptances and (b) the final time for
lodgment of acceptances for the purposes of determining whether the
acceptance condition set out in paragraph 1(A) of Part A of
Appendix I of the Offer Document is satisfied.
2. Further update on Capital Raising
On 17 August 2017, IP Group announced that Beijing Galaxy World
Group Co. Ltd ("Galaxy World") had been unable to complete on its
conditional subscription of 16,500,000 Capital Raising Shares,
equal to GBP23.1m, under the Placing (the "Galaxy Subscription")
due to exchange control issues.
IP Group is pleased to announce that Galaxy World (through a
wholly owned subsidiary, Galaxy Linked Holding Limited in Hong
Kong) was yesterday allotted 556,427 ordinary shares at 140 pence
each (total GBP0.8m), funded by Galaxy Linked Holding Limited's
available offshore funds not subject to exchange control. The
allotment is made in accordance with, and subject to the same terms
and conditions as, the Capital Raising announced on 23 May 2017 and
approved by shareholders at the General Meeting on 8 June 2017.
Galaxy World and IP Group will continue to explore future
collaboration opportunities.
An application has therefore been made to the Financial Conduct
Authority for admission of the New Shares to the premium listing
segment of the Official List maintained by the UK Listing Authority
and to the London Stock Exchange. It is expected that admission
will take place on 30 August 2017. Following the issue of these
further Capital Raising Shares, the Company will have a total
issued share capital of 699,069,463 ordinary shares of 2 pence
each. 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, Guidance and Transparency Rules and under Rule 8 of the
Takeover Code.
3. Update on Exchange Ratio
As noted in the Offer Document posted on 18 July 2017, the
Exchange Ratio of 2.2178 IP Group shares for each Touchstone share
was subject to adjustment to take into account the 2.1 per cent.
discount offered on IP Group shares to be issued to Galaxy
World.
After accounting for the 556,427 IP Group shares allotted to
Galaxy World, IP Group confirms that, although the adjustment has
been applied, the Exchange Ratio remains at 2.2178 IP Group shares
for each Touchstone Share.
As set out in the Offer Document, the Exchange Ratio will be
adjusted if,
i. as a result of an increase in the price of the IPG Shares,
the implied offer value per Touchstone Share were to become worth
more than 330 pence. In such event, the number of New Shares to be
issued per Touchstone Share will be reduced such that the implied
offer value per Touchstone Share remains at 330 pence (the "Offer
Cap"). Any adjustment to the Exchange Ratio will be finally
determined at Completion and the implied offer value per Touchstone
Share will be calculated by reference to the average of the daily
volume weighted average prices of an IPG Share over the 30 Business
Days prior to the Completion Date and will be rounded to four
decimal places; and
ii. if any dividend or other distribution is authorised,
declared, made or paid in respect of Touchstone Shares on or after
the date of the Offer Announcement, the Exchange Ratio shall be
reduced by the amount of any such dividend or other
distribution.
Capitalised terms used in this announcement have the meanings
given to them in the prospectus published by IP Group in connection
with the Capital Raising on 23 May 2017 and the Offer Document
published on 18 July 2017.
Enquiries:
IP Group plc
Alan Aubrey, Chief Executive Officer +44 (0) 20 7444 0050
Greg Smith, Chief Financial Officer +44 (0) 20 7444 0070
David Baynes, Chief Operating Officer +44 (0) 20 7444 0082
Liz Vaughan-Adams, Communications +44 (0) 20 7444 0062/+44 (0) 7979 853802
N M Rothschild (Lead Financial Adviser) +44 (0) 20 7280 5000
Warner Mandel
Anton Black
Numis Securities Limited (Sponsor, Joint Financial Adviser and Broker) +44 (0) 20 7260 1000
Michael Meade
James Black
Freddie Barnfield
Charlotte Street Partners
Andrew Wilson +44 (0) 7810 636995
Martha Walsh +44 (0) 7876 245962
Pinsent Masons LLP are retained as legal advisers for IP
Group.
Further Information
This Announcement is for information purposes only and is not
intended to and does not constitute or form part of an offer,
invitation or the solicitation of an offer or invitation to
purchase, or otherwise acquire, subscribe for, sell or otherwise
dispose of any securities or the solicitation of any vote or
approval in any jurisdiction pursuant to the Offer or otherwise nor
shall there be any sale, issuance or transfer of securities of IPG
or Touchstone pursuant to the Offer in any jurisdiction in
contravention of applicable laws. The Offer will be implemented
solely pursuant to the terms of the terms of the Offer Document (as
clarified by this Announcement), which contains the full terms and
conditions of the Offer. Any decision in respect of, or other
response to, the Offer should be made on the basis of the
information contained in the Offer Document (as clarified by this
Announcement).
IP Group urges Touchstone Shareholders to read the Offer
Document carefully because it contains important information in
relation to the Offer, the New Shares and the Combined Group.
This Announcement does not constitute a prospectus or prospectus
equivalent document.
Information Relating to Touchstone Shareholders
Please be aware that addresses, electronic addresses and certain
other information provided by Touchstone Shareholders, persons with
information rights and other relevant persons for the receipt of
communications from Touchstone may be provided to IP Group during
the Offer Period as required under Section 4 of Appendix 4 of the
City Code.
Overseas Jurisdictions
The release, publication or distribution of this Announcement in
or into jurisdictions other than the United Kingdom may be
restricted by law and therefore any persons who are subject to the
laws of any jurisdiction other than the United Kingdom should
inform themselves about, and observe any applicable legal or
regulatory requirements. Any failure to comply with the applicable
restrictions may constitute a violation of the securities laws of
any such jurisdiction. To the fullest extent permitted by
applicable law the companies and persons involved in the Offer
disclaim any responsibility or liability for the violation of such
restrictions by any person. This Announcement has been prepared for
the purpose of complying with English law and the City Code and the
information disclosed may not be the same as that which would have
been disclosed if this Announcement had been prepared in accordance
with the laws of jurisdictions outside the United Kingdom.
Unless otherwise determined by IP Group or required by the City
Code, and permitted by applicable law and regulation, the
availability of New Shares to be issued pursuant to the Offer to
Touchstone Shareholders will not be made available, directly or
indirectly, in, into or from the United States or any other
Restricted Jurisdiction where to do so would violate the laws in
that jurisdiction and no person may vote in favour of the Offer by
any means, instrumentality or form within a Restricted Jurisdiction
or any other jurisdiction if to do so would constitute a violation
of the laws of that jurisdiction.
Accordingly, copies of this Announcement and any formal
documentation relating to the Offer are not being, and must not be,
directly or indirectly, mailed or otherwise forwarded, distributed
or sent in or into or from any Restricted Jurisdiction or any other
jurisdiction where to do so would constitute a violation of the
laws of that jurisdiction, and persons receiving such documents
(including custodians, nominees and trustees) must not mail or
otherwise forward, distribute or send such documents in or into or
from any Restricted Jurisdiction.
The Offer may not be made directly or indirectly, in or into, or
by the use of mails or any means or instrumentality (including, but
not limited to, facsimile, email or other electronic transmission
or telephone) of interstate or foreign commerce of, or of any
facility of a national, state or other securities exchange of any
Restricted Jurisdiction and the Offer may not be capable of
acceptance by any such use, means, instrumentality or facilities or
from within any Restricted Jurisdiction.
The availability of New Shares pursuant to the Offer to
Touchstone Shareholders who are not resident in the United Kingdom
or the ability of those persons to hold such shares may be affected
by the laws or regulatory requirements of the relevant
jurisdictions in which they are resident. Persons who are not
resident in the United Kingdom should inform themselves of, and
observe, any applicable legal or regulatory requirements.
Touchstone Shareholders who are in doubt about such matters should
consult an appropriate independent professional adviser in the
relevant jurisdiction without delay.
This Announcement is not for publication, distribution, directly
or indirectly, in or into the United States of America. This
Announcement is not an offer of securities for sale into the United
States. The securities referred to herein have not been and will
not be registered under the U.S. Securities Act of 1933, as
amended, and may not be offered or sold in the United States,
except pursuant to an applicable exemption from registration. No
public offering of securities is being made in the United
States.
Important Notices Relating to Financial Advisers
Rothschild, which is authorised and regulated by the FCA in the
UK, is acting exclusively for IP Group and no one else in
connection with the Offer and will not be responsible to anyone
other than IP Group for providing the protections afforded to
clients of Rothschild or for providing advice in relation to the
Offer or any other matters referred to in this Announcement.
Numis Securities Limited which is authorised and regulated by
the FCA is acting exclusively for IP Group and no one else in
connection with the Offer and Numis Securities Limited will not be
responsible to anyone other than IP Group for providing the
protections afforded to its clients or for providing advice in
relation to the Offer or any other matters referred to in this
Announcement.
Cautionary Note Regarding Forward-Looking Statements
This Announcement (including any information incorporated by
reference into this Announcement), oral statements regarding the
Offer and other information published by IP Group and Touchstone
contain certain forward-looking statements with respect to the
financial condition, strategies, objectives, results of operations
and businesses of IP Group and Touchstone and their respective
groups and certain plans and objectives with respect to the
Combined Group. These forward-looking statements can be identified
by the fact that they do not relate only to historical or current
facts. Forward-looking statements are prospective in nature and are
not based on historical facts, but rather on current expectations
and projections of the management of IP Group and Touchstone about
future events, and are therefore subject to risks and uncertainties
which could cause actual results to differ materially from the
future results expressed or implied by the forward-looking
statements. The forward-looking statements contained in this
Announcement include statements relating to the expected effects of
the Offer on IP Group and Touchstone, the expected timing and scope
of the Offer and other statements other than historical facts.
Forward-looking statements often use words such as "anticipate",
"target", "expect", "estimate", "intend", "plan", "goal",
"believe", "hope", "aims", "continue", "will", "may", "should",
"would", "could", or other words of similar meaning. These
statements are based on assumptions and assessments made by IP
Group, and/or Touchstone in light of their experience and their
perception of historical trends, current conditions, future
developments and other factors they believe appropriate. By their
nature, forward-looking statements involve risk and uncertainty,
because they relate to events and depend on circumstances that will
occur in the future and the factors described in the context of
such forward-looking statements in this Announcement could cause
actual results and developments to differ materially from those
expressed in or implied by such forward-looking statements.
Although it is believed that the expectations reflected in such
forward-looking statements are reasonable, no assurance can be
given that such expectations will prove to have been correct and
readers are therefore cautioned not to place undue reliance on
these forward-looking statements.
There are several factors which could cause actual results to
differ materially from those expressed or implied in
forward-looking statements. Among the factors that could cause
actual results to differ materially from those described in the
forward-looking statements are changes in the global, political,
economic, business, competitive, market and regulatory forces,
future exchange and interest rates, changes in tax rates and future
business combinations or dispositions. For a discussion of
important factors which could cause actual results to differ from
forward-looking statements in relation to IP Group or the
Touchstone Group, please refer to the annual report and accounts of
IP Group for the financial year ended 31 December 2016 and the
interim accounts for the six months ended 30 June 2017 and of the
Touchstone Group for the financial year ended 31 July 2016 and the
interim accounts for the six months ended 31 January 2017,
respectively.
Each forward-looking statement speaks only as at the date of
this Announcement. Neither IPG nor its group assumes any obligation
to update or correct the information contained in this Announcement
(whether as a result of new information, future events or
otherwise), except as required by applicable law.
Rounding
Certain figures included in this Announcement have been
subjected to rounding adjustments. Accordingly, figures shown for
the same category presented in different tables may vary slightly
and figures shown as totals in certain tables may not be an
arithmetic aggregation of the figures that precede them.
No Profit Forecasts or Estimates
No statement in this Announcement is intended as a profit
forecast or estimate for any period and no statement in this
Announcement should be interpreted to mean that earnings or
earnings per share or dividend per share for IPG, Touchstone or the
Combined Group, as appropriate, for the current or future financial
years would necessarily match or exceed the historical published
earnings or earnings per share or dividend per share for IPG,
Touchstone or the Combined Group as appropriate.
Publication on website and availability of hard copies
A copy of this Announcement is and will be available, subject to
certain restrictions relating to persons resident in Restricted
Jurisdictions, for inspection on the investor relations section of
IPG's website www.ipgroupplc.com/investorrelations/ by no later
than 12 noon (London time) on the Business Day following this
Announcement. For the avoidance of doubt, the contents of the
websites referred to in this Announcement are not incorporated into
and do not form part of this Announcement.
You may request a hard copy of this Announcement free of charge
(subject to certain restrictions relating to persons resident in
Restricted Jurisdictions) by writing to Freddie Barnfield at Numis
at f.barnfield@numis.com or by calling +44 (0)20 7260 1000 during
normal business hours. It is important that you note that unless
you make such a request, a hard copy of this Announcement will not
be sent to you. You may also request that all future documents,
announcements and information to be sent to you in relation to the
Offer should be in hard copy form.
If you are in any doubt about the contents of this Announcement
or the action you should take, you are recommended to seek your own
independent financial advice immediately from your stockbroker,
bank manager, solicitor, accountant or independent financial
adviser duly authorised under the Financial Services and Markets
Act 2000 (as amended) if you are resident in the United Kingdom or,
if not, from another appropriately authorised independent financial
adviser.
This information is provided by RNS
The company news service from the London Stock Exchange
END
OUPOKPDDCBKKBFB
(END) Dow Jones Newswires
August 25, 2017 05:14 ET (09:14 GMT)
Touchstone Innovations (LSE:IVO)
Historical Stock Chart
From Jun 2024 to Jul 2024
Touchstone Innovations (LSE:IVO)
Historical Stock Chart
From Jul 2023 to Jul 2024