21 March 2017
LIMITLESS EARTH PLC
("Limitless" or the "Company")
Further Investment
Saxa Gres S.p.A
Limitless, an AIM quoted investing company, is pleased to
announce that it has made a further investment in Saxa Gres S.p.A.
("Saxa Gres"), a private Italian company focused on waste recycling
industrial waste into the production of porcelain stoneware
tiles.
In December 2015, Limitless
invested EUR €350,000 acquiring 350 SaxaBond notes each of which
had a nominal value of EUR €1,000 and a coupon of 10 per cent.
(“Notes”) The Notes were accompanied by options to acquire 1.655%
of the equity share capital of Saxa Gres, each option having an
exercise price of EUR €1.
Limitless has now increased its investment in Saxa Gres by
acquiring a further 267 Notes for a value of EUR €267,000 Eur.
These Notes are also accompanied by options to acquire shares in
Saxa Gres, in this case to acquire another 1.333% of its equity
share capital with each option having an exercise price of EUR
€1. In total, Limitless now holds options to acquire
approximately 2.5% of the equity share capital of Saxa Gres at an
exercise price of EUR €1 per share.
Investment Terms
The Notes carry the same terms as the Company’s initial
investment with a coupon of 10 per cent. and a maturity period of
two years. Terms of the repayment allow for repayment to occur from
6 months from the date of investment and quarterly thereafter.
The options to subscribe for equity at an exercise price of EUR
€1 per share. Exercise of the options accompanying the Notes is at
the Company’s discretion anytime until 15
December 2018, as specified in the terms and conditions of
the options. At the time of the initial investment, the directors
of Saxa Gres valued the business in excess of €30 million.
Saxa Gres S.p.A.
Saxa Gres has concluded the re-start up phase and is now
manufacturing high quality tiles made of porcelain stoneware at
full capacity, with a daily production of 5,600 sqm. of tiles. It
is implementing its industrial plan in line with its internal
forecast and the company is closer to start using incinerator ashes
in the tile composition in line with the circular economy project
of a Saxa Gres Eco District. To reduce the ecological footprint of
its operations, in December
2016, Saxa Gres filed an application for the construction of
an OFMSW bio-digester which will increase the use of
energy from renewable resources while reducing production costs.
Because of the progress being made by Saxa Gres in developing
its production process, Limitless has decided to increase its
investment in Saxa Gres by acquiring the additional options to
convert into equity share capital along with the Notes which
provide a favourable coupon of 10 per cent. per annum.
Guido Contesso, Director of
Limitless, commented: "Because we are satisfied that Saxa
Gres is progressing in line with the initial business plan, we have
decided to increase Limitless’s investment in the secondary market
by acquiring additional Notes and, as well as receiving the
favorable 10 % coupon, we also received further options to convert
in Saxa Gres shares at EUR €1 in a company that is now in full
production and hiring status. The investment is in a company that
in our opinion has great potential”
For further information, please contact:
Limitless Earth plc
Guido Contesso |
+44 (0) 7780 700 091
www.limitlessearthplc.com |
Cairn Financial Advisers
LLP
Nominated Adviser
Jo Turner/Tony Rawlinson |
+44 (0) 20 7213 0880
www.cairnfin.com |
Peterhouse Corporate Finance
Limited
Broker
Peter Greensmith/Charles Goodfellow |
+44 (0) 20 7469 0930
www.pcorpfin.com |
About Limitless Earth plc
Limitless Earth plc is a proactive investment company that
focuses on making investments in and assisting companies which
exhibit the potential to generate returns through capital
appreciation. Limitless invests in small companies where
there are clear catalysts for value appreciation and the companies
are operating in sectors exhibiting long term growth linked to
demographic change. Examples of such sectors include
Cleantech, Life Sciences, nanotech, medtech, recycling, and new
Internet opportunities