REG - DCI Advisors Ltd - Further Shareholder Loan and RPT

DCI AdvisorsAnnouncement

14/03/2024 15:00

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RNS Number : 9288G  DCI Advisors Limited  14 March 2024

DCI Advisors Ltd

(the "Company" or "DCI")

Further Shareholder Loan and Related Party Transaction

 

14 March 2024

 

The Board of the Company has entered into another loan agreement for
€100,000 with a DCI shareholder to provide additional working capital to the
Company (the "Shareholder Loan"). The shareholder providing this loan has
previously entered into a loan agreement with the Company for €350,000 in
April 2023. To date, the Company has received eight loans of €350,000 each
and two loans from funds managed by a single shareholder amounting to
US$330,000 in aggregate. The first six loans made up to September 2023 have
identical terms to one another (other than their date of initiation and
currency of denomination) and are for a 12-month term bearing an interest rate
of 12 per cent. p.a., with no fees payable on disbursement or repayment.
Shareholder Loans made after September 2023 have identical terms with the
previous loans, except that there is no right of prepayment by the Company and
they will therefore last 12 months. The Company's intention is to repay all
outstanding Shareholder Loans from the proceeds of the sale of Company assets.
When combined with the Shareholder Loans announced previously, all of the
Shareholder Loans received to date are now expected to total up to €3.2
million in aggregate.

 

Related Party Transaction

 

The new Shareholder Loan agreement has been entered into with Lars Bader who
controls 10.27% of the issued share capital of the Company. Accordingly, the
entering into of the Shareholder Loan agreement with him is deemed to be a
related party transaction pursuant to AIM Rule 13 of the AIM Rule for
Companies. The Company's directors consider, having consulted with the
Company's Nominated Adviser, Cavendish Capital Markets Limited, that the terms
of the Lars Bader Shareholder Loan agreement are fair and reasonable insofar
as the shareholders are concerned.

 

As previously announced, collateral in the form of security over certain
Company assets will be put in place using normal commercial terms which will
exceed the aggregate value of each of the loans. In addition, the Board has
agreed that the Company will guarantee the repayment of the latest loan and
all Shareholder Loans received to date. A further announcement will be made
once the Company has entered into the new security agreements.

 

 

Enquiries

 DCI Advisors Ltd

 Nicolai Huls / Nick Paris, Managing Directors                          nickparis@btinternet.com

                                                                        +44 (0) 7738 470550
 Cavendish Capital Markets (Nominated Adviser & Broker)

 James King / Jonny Franklin-Adams / Edward Whiley / Oscar Valeur-Adu
 (Corporate Finance)

                                                                      +44 (0) 20 7220 0500
 Pauline Tribe (Sales)
 FIM Capital Limited (Administrator)                                    llennon@fim.co.im (mailto:llennon@fim.co.im) / gdevlin@fim.co.im

                                                                      (mailto:gdevlin@fim.co.im)
 Lesley Lennon / Grainne Devlin (Corporate Governance)

 

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