REG - Eco Buildings Group - Fundraise of £827,000 with existing shareholders

Eco BuildingsAnnouncement

08/02/2024 07:15

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RNS Number : 4011C  Eco Buildings Group PLC  08 February 2024

Certain information contained within this Announcement is deemed by the
Company to constitute inside information as stipulated under the Market Abuse
Regulation (EU) No. 596/2014 ("MAR") as applied in the United Kingdom. Upon
publication of this Announcement, this information is now considered to be in
the public domain.

8 February 2024

Eco Buildings Group plc

(the "Company" or the "Group")

Fundraise of £827,000 ($1 million) with existing shareholders to accelerate
modular housing production

Eco Buildings Group Limited (ECOB), a modular housing company, is pleased to
announce that it has raised £827,000 via a subscription for 6,891,667 new
ordinary shares ("Subscription Shares") by several supportive existing
shareholders (the "Fundraise"). Dr Etrur Albani, a non-executive director and
co-founder of Eco Buildings and Andrew Allner whose retirement as Chairman was
announced on the 18 January 2024 are participating in the Fundraise.

The Subscription will be completed at a price of 12 pence per share (the
"Issue Price"), being a 4.3% premium to the closing market price of 11.50
pence per share on 7 February 2024 (the business day prior to the date of this
announcement).Warrants over new ordinary shares will be issued on the basis of
one for every one Subscription Share.  The warrants have a three year term,
with an exercise price of 12p for the first 12 months, 19p for the following
12 months, and 26p for the final twelve months.

The Fundraise is conditional, inter alia, upon admission of the Subscription
Shares to trading on AIM becoming effective in accordance with the AIM Rules
for Companies and occurring by not later than 8.00 a.m. on 13 February 2024.

Use of Proceeds

The proceeds will be used to accelerate production of modular housing and help
satisfy the existing €114M order book over 3 years.  The Company
anticipates that the first revenue is to be received in the current quarter
(Q1 2024) and ongoing thereafter. In addition the Company will use funds to
support growth in new geographic areas.

Director's Participation and Related Party Transactions

Dr Etrur Albani, a non-executive director and co-founder of Eco Buildings, is
investing £100,000 by subscribing for 833,333 Subscription Shares at the
Issue Price. Following Admission, Dr Etrur Albani will have an interest in
17,640,286 Ordinary Shares representing 22.92 per cent. of the Enlarged Share
Capital.

Andrew Allner, whose retirement as Chairman was announced on 18 January 2024,
is also participating and investing £35,000 by subscribing for 49,693
Subscription Shares at the Issue Price. Following Admission, Andrew Allner
will have an interest in 341,360 Ordinary Shares representing 0.44 per cent.
of the Enlarged Share Capital.

The participation of Etrur Albani and Andrew Allner in the Fundraise
constitute related party transactions under Rule 13 of the AIM Rules. The
Independent Directors (being Don Nicolson, Sir Mark Lyall Grant, Ahmet Shala,
Sanjay Bowry and Fiona Hadfield) consider, having consulted with the Company's
nominated adviser, Spark Advisory Partners Limited, that the terms of their
participation in the Fundraise are fair and reasonable insofar as Shareholders
are concerned.

Admission & Total Voting Rights

The new ordinary shares will rank pari passu with the existing ordinary shares
in all respects.

Following the admission of the new ordinary shares, the total issued share
capital of the Company will be 76,961,747 ordinary shares, each with voting
rights. The Company does not hold any ordinary shares in treasury. The above
figure 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, the Company, under the Disclosure and
Transparency Rules.

The information communicated in this announcement is inside information for
the purposes of Article 7 of Regulation 596/2014.

For more information on Eco Buildings please visit www.eco-buildingsplc.com
(http://www.eco-buildingsplc.com) or contact:

 Eco Buildings Group plc                              Tel: +44 (0)20 7380 0999

 Sanjay Bowry, Chief Executive Officer

 Fiona Hadfield, Finance Director
 Spark Advisory Partners Limited (Nominated Adviser)  Tel: +44 (0)20 3368 3550

 Matt Davis / James Keeshan
 Tavira Financial Limited (Broker)                    Tel: +44 (0)20 3192 1739

 Oliver Stansfield/Jonathan Evans

 

NOTIFICATION AND PUBLIC DISCLOSURE OF TRANSACTIONS BY PERSONS DISCHARGING
MANAGERIAL RESPONSIBILITIES AND PERSONS CLOSELY ASSOCIATED WITH THEM

 1   Details of the person discharging managerial responsibilities / person closely
     associated

 a)  Name                                                         Dr Etrur Albani

 2   Reason for the notification

 a)  Position/status                                              Non-Executive Director

 b)  Initial notification/Amendment

                                                                   Initial
 3   Details of the issuer, emission allowance market participant, auction
     platform, auctioneer or auction monitor
 a)  Name                                                         Eco Buildings PLC

 b)  LEI                                                          213800GJKNNE3VRWDD37

 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 1p each
     Identification code                                          GB00BRJTP124

 b)  Nature of the transaction                                    Purchase of Ordinary Shares pursuant to the Fundraise

 c)  Price(s) and volumes(s)                                      Price(s)                     Volume(s)

     £0.12                                                                                     833,333
 d)  Aggregated information                                       N/A (single transaction)

     Aggregated volume                                            N/A (single transaction)

     Price                                                        N/A (single transaction)

 e)  Date of the transaction                                      8 February 2024

 f)  Place of the transaction                                     Outside of a trading venue

 

 

 

 

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