mporium Group PLC Disposal of Global Mobile Transactions Limited (4088E)
04 November 2015 - 12:57AM
UK Regulatory
TIDMMPM
RNS Number : 4088E
mporium Group PLC
03 November 2015
3 November 2015
mporium Group PLC
("mporium", the "Company" or the "Group")
Disposal of Global Mobile Transactions Limited
mporium Group PLC (AIM: MPM), the mobile commerce specialist,
announces the disposal of its non-core operation, Global Mobile
Transactions (Isle of Man) Limited ("GMT") (the "Disposal").
GMT was originally set up as a 24/7 call centre that provided
support services to customers of mporium Limited and those of third
parties. Following the Group's change in strategy that was outlined
in Q2 2015, the Board have taken the view that GMT is no longer
central (or core) to the Company's strategy going forward.
GMT is being acquired by Dominic Keen, the previous CEO of the
Company, for a total consideration of GBP1 on a cash free debt free
basis. It is a term of the Disposal that, should GMT be sold during
the three years following the Disposal, mporium will receive 25% of
any sales proceeds between GBP250,000 and GBP500,000 and 50% of any
proceeds exceeding GBP500,000.
The majority of the existing mporium customers that are
currently serviced through GMT, together with any related debtor
balances, will be assigned back to mporium and these customers will
continue to be serviced by the Group. GMT will be left with two
third-party call centre contracts together with 14 employees and
the associated ongoing liabilities relating to those call centre
contracts. Historically the two contracts remaining with GMT have
operated on a near breakeven basis.
As at 31 December 2014, GMT had net liabilities of GBP893,000,
primarily relating to an intercompany loan (the "Loan"), and
reported a comprehensive loss of GBP550,000 for the year. The Loan,
which has been reduced further since 31 December 2014, relates to
the original establishment costs of GMT and will be written off to
leave GMT with a small level of net liabilities. Given that the
Loan did not show in the Group's consolidated accounts, the
directors of the Company anticipate that the effect of the waiver
of the Loan on mporium will be negligible.
Related party transaction
The disposal of GMT is classified as a related party transaction
under Rule 13 of the AIM Rules for Companies by virtue of Dominic
Keen having been a director of the Company within the last twelve
months.
The Directors of the Company, having consulted with the
Company's nominated adviser, N+1 Singer, consider that the terms of
the disposal are fair and reasonable insofar as the shareholders of
mporium are concerned.
Ends
Enquiries:
mporium: 020 3735 5914
Richard Gordon
N+1 Singer: 020 7496 3000
Shaun Dobson
Alex Wright
Buchanan: 020 7466 5000
Charles Ryland
Vicky Watkins
This information is provided by RNS
The company news service from the London Stock Exchange
END
DISFSIFDDFISEIF
(END) Dow Jones Newswires
November 03, 2015 08:57 ET (13:57 GMT)
Mopowered Grp (LSE:MPOW)
Historical Stock Chart
From Apr 2024 to May 2024
Mopowered Grp (LSE:MPOW)
Historical Stock Chart
From May 2023 to May 2024