REG - Alpha Growth PLC - Acquisition of Minority Holding and Share Issuance

Alpha GrowthAnnouncement

15/05/2023 07:00

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RNS Number : 3341Z  Alpha Growth PLC  15 May 2023

Alpha Growth plc

("Alpha" or the "Company")

Acquisition of Minority Shareholding and Share Issuance

Alpha Growth Plc (LSE: ALGW and OTCQB: ALPGF), a leading financial services
specialist in the growing longevity asset class and insurance linked asset
management, announces that it has entered into an agreement to purchase the
outstanding 5% minority shareholding (the "Minority Stake") it did not own in
Northstar Group (Bermuda) Limited ("Northstar"), the Company's Bermuda based
insurance holding company, for a total consideration of £330,102.

As announced on 11 February 2021, Alpha's wholly-owned subsidiary Alpha Group
(Bermuda) Ltd acquired 95% of Northstar, with the Minority Stake being
retained by Northstar's original founder, Daniel Gray who subsequently joined
and continues to be a board member of Providence Life Assurance Company
(Bermuda) Ltd and Alpha International Life Assurance Company (Guernsey) Ltd.
The Company has now acquired the Minority Stake and Northstar is therefore a
wholly owned group company.

The consideration due for the acquisition of the Minority Stake has been
settled by Alpha issuing 12,696,231 ordinary shares of 0.1p each ("Ordinary
Shares") at a deemed issued price of 2.6p per Ordinary Share.

In addition, the Company has issued 3,265,306 Ordinary Shares to Jason
Sutherland (Executive Director) in lieu of £80,000 in director's fees owed to
him, of which £72,000 relates to the period to 31 December 2022 and which
have been reported in the recently published financial statements to that
date. The deemed issue price was 2.45p per Ordinary Share, which was the
closing price of the Ordinary Shares on 31 December 2022.

Application has been made for a total of 15,961,537 Ordinary Shares to be
admitted to the standard listing segment of the Official List of the Financial
Conduct Authority and to be admitted to trading on the main market for listed
securities of the London Stock Exchange plc (together, "Admission"). Admission
is expected to become effective at 8.00 a.m. on 16 May 2023.

Gobind Sahney, Executive Chairman, commented: "I am very pleased that we were
able to complete the 100% ownership of Northstar and that we get the continued
alignment of interest with Dan, who continues to be a valued advisor to the
group in the growth of its life insurance business, now as a direct
shareholder in Alpha."

Total Voting Rights

On Admission, the Company's issued share capital will consist of 467,775,068
Ordinary Shares. There are no Ordinary Shares held in treasury. Accordingly,
the total number of voting rights in Alpha Growth plc at Admission will be
467,775,068.

The above figure 467,775,068 may be used by shareholders as the denominator
for the calculations by which they will determine if they are required to
notify their interest in, or a change to their interest in, Alpha Growth plc
under the FCA's Disclosure Guidance and Transparency Rules.

** ENDS **

For more information, please visit www.algwplc.com (http://www.algwplc.com) or
contact the following:

 

 Alpha Growth plc                                   +44 (0) 20 3959 8600
 Gobind Sahney, Executive Chairman                  info@algwplc.com (mailto:info@algwplc.com)
                                                    +44 (0) 20 3328 5656

 Allenby Capital Limited
 Amrit Nahal (Sales and Corporate Broking)
 Nick Athanas / Piers Shimwell (Corporate Finance)
                                                    ir@algwplc.com (mailto:ir@algwplc.com)

 UK Investor Relations - Mark Treharne

 

About Alpha Growth plc

Specialist in Longevity Assets

Alpha Growth plc is a financial advisory business providing specialist
consultancy, advisory, and supplementary services to institutional and
qualified investors globally in the multi-billion dollar market of longevity
assets. Building on its well-established network, the Alpha Growth group has a
unique position in the longevity asset services and investment business, as a
listed entity with global reach. The group's strategy is to expand its
advisory and business services via acquisitions and joint ventures in the UK
and the US to attain commercial scale and provide holistic solutions to
alternative institutional investors who are in need of specialised skills and
unique access to deploy their financial resource in longevity assets.

Longevity Assets and Non-correlation

As a longevity asset, it is non-correlated to the real estate, equity capital
and commodity markets.  Its value is a function of time because as time
passes the value gets closer to the face value of the policy. Hence creating a
steady increase in the net asset value of the investment. This makes it highly
attractive to investors wishing to counteract volatility within an investment
portfolio and add yield.

Note: The Company only advises on and manages Longevity Assets that originate
in the USA where the structured and life settlement market is highly
regulated.

Forward Looking Statements Disclaimer

Certain statements, beliefs and opinions in this document are forward-looking,
which reflect the Company's or, as appropriate, the Company's directors'
current expectations and projections about future events. By their nature,
forward-looking statements involve a number of risks, uncertainties and
assumptions that could cause actual results or events to differ materially
from those expressed or implied by the forward-looking statements. These
risks, uncertainties and assumptions could adversely affect the outcome and
financial effects of the plans and events described herein. Forward-looking
statements contained in this document regarding past trends or activities
should not be taken as a representation that such trends or activities will
continue in the future. The Company does not undertake any obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. You should not place undue reliance
on forward- looking statements, which speak only as of the date of this
document.  Readers should not treat the contents of this document as advice
relating to legal, taxation or investment matters, and are to make their own
assessments concerning these and other consequences, including the merits of
information and the risks.  Readers of this announcement are advised to
conduct their own due diligence and agree to be bound by the limitations of
this disclaimer.

Important Notice

The content of this announcement has not been approved by an authorised person
within the meaning of the Financial Services and Markets Act 2000 (FSMA). This
announcement has been issued by and is the sole responsibility of the Company.
The information in this announcement is subject to change.

Details of the transactions can be found in the Notification of Dealing Form
below.

 1    Details of the person discharging managerial responsibilities / person closely

    associated

 a)   Name                                                         Jason Sutherland

 2    Reason for the notification

 a)   Position/status                                              PDMR

 b)   Initial notification /Amendment                              Initial notification

 3    Details of the issuer, emission allowance market participant, auction

    platform, auctioneer or auction monitor

 a)   Name                                                         Alpha Growth plc

 b)   LEI

                                                                   213800T46KFT32KYKR91

 4    Details of the transaction(s): section to be repeated for (i) each type of

    instrument; (ii) each type of transaction; (iii) each date; and (iv) each
      place where transactions have been conducted

 a)   Description of the financial instrument, type of instrument  Ordinary Shares of 0.1pence each

      Identification code                                          GB00BYWKBC49

 b)   Nature of the transaction                                    Issue of Ordinary Shares in lieu of director's fees

 c)   Price(s) and volume(s)

                                                                                     Price(s)          Volume(s)
                                                                                     £0.0245           3,265,306

 d)   Aggregated information                                       N/A - Single transaction

      - Aggregated volume

      - Price

 e)   Date of the transaction                                      16 May 2023

 f)   Place of the transaction                                     London Stock Exchange

 

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