REG - Amala Foods PLC - Corporate Update

Amala FoodsAnnouncement

17/03/2023 08:00

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RNS Number : 3446T  Amala Foods PLC  17 March 2023

 

Amala Foods Plc

("Amala" or the "Company")

 

 

Corporate Update

 

Amala Foods Plc (LON: DISH), a suspended Main Market listed shell company, is
pleased to provide a Corporate Update.

Highlights:

·    Termination of the proposed transaction with Terra Rara UK Ltd;

·    Appointment of Celia Li to the Board of Directors;

·    New funding of £405,000 raised through the subscription of
Convertible Loan Notes (CLN);

·    Publication of Annual Financial Report expected at the end of March.

The Company has terminated the proposed transaction with Terra Rara UK Ltd
("Terra Rara").  This decision was taken due to identified administrative
issues relating to some of the mining assets of Terra Rara following further
due diligence. Terra Rara are seeking to develop mining exploration assets in
two countries in Africa, where due diligence is lengthy and complex.  The
Company is pursuing the return of $125,000 due from Terra Rara.  The Company
hopes that Terra Rara are able to monetise their Rare Earth Elements (REE)
assets in due course.

The Company has appointed with immediate effect, Celia Li to the Board as a
Non-Executive Director.

Ms Li is executive director of Drylab Media Tech Group Plc as their Chief
Marketing Officer and is an international media executive and renowned TV
presenter for the world's largest independent Chinese TV broadcaster Phoenix
Satellite Television Holdings Ltd. Ms Li set up Phoenix TV's European news
division in 2004 where she heads the news team. Ms Li also has extensive
experience in marketing and investor relations. She has built up during the
past 15 years substantial relationships with both corporates and investors
across Asia, Europe and North America.

Furthermore, the Company is pleased to announce that new funding of £405,000
has been raised through the subscription of Convertible Loan Notes.  The CLNs
carry zero interest and will convert at Re-admission upon a Reverse Takeover
at a 50% discount to the Re-admission price.  A Director, Aidan Bishop has
also subscribed to £40,000 of the CLN.

The board have removed non-essential costs during the period of suspension and
the directors are not receiving any remuneration both prior to and during the
period of suspension. Accordingly, the board are confident that the proceeds
of the CLN provide sufficient capital to ensure that the Company is well
prepared to undertake a reverse takeover once a target has been identified.

The Company now expects to publish its Annual Financial Report at the end of
this month.  The delays have been largely due to the busy season and
resourcing challenges faced by the Company's auditors.  Upon publication, the
Company will make application to restore the listing to the Main Market.

The Company is now actively seeking to identify new opportunities to generate
value for shareholders and with having secured new funding in line with the
CLNs, the Directors look forward to updating the market in due course.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
THE MARKET ABUSE REGULATION EU 596/2014 ("MAR").

 

Enquiries:

 

Jonathan Morley-Kirk, Non-Executive Chairman

jmk@bluebirdmv.com (mailto:jmk@bluebirdmv.com)

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