REG - IG Design Group PLC - Exercise of put option in Anker Play Products

IG DesignAnnouncement

24/05/2022 07:16

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RNS Number : 5215M  IG Design Group PLC  24 May 2022

24 May 2022

IG Design Group plc

 

('Design Group' or the 'Company')

 

Exercise of put option in Anker Play Products

 

IG Design Group plc announces the purchase of the remaining 49 per cent of the
membership units in its subsidiary Anker Play Products, LLC ("APP"), bringing
its total ownership to 100 per cent. This was completed pursuant to the
exercise of a put option by Maxwell Summers, Inc., the holder of the 49 per
cent membership unit interest, which the Group is legally obliged to purchase
with the exercise of the put option under the APP limited liability company
agreement dated March 30, 2017. The transaction was contractually committed on
23 May 2022, with an effective date of 1 April 2022.

 

The transaction, made through IG Design Group plc's American subsidiary IG
Design Group Americas, Inc. is satisfied with an initial cash payment of $1.5
million with the final cash payment subject to finalisation of APP's financial
results to 31 March 2022. The Directors anticipate this payment to be c.$1.6
million. The consideration will be satisfied from the existing Group
facilities of the Company.

 

APP develops and sources crafts, toys and games for the US retail market. APP
generated a profit before tax of $1.8 million on revenue of $21.1 million in
the year to 31 March 2021. APP had net assets as at 31 March 2021 of £1.6
million.  The financial results of APP have historically been fully
consolidated within the financial results of Design Group and as such the
Directors anticipate that this transaction will have no material impact on the
future reported financial results of the Group other than a reduction in the
minority interest charge in the Group income statement.

For further information, please contact:

 IG Design Group plc                            Tel: +44 (0)1525 887310

 Giles Willits, Director

 Canaccord Genuity Limited (NOMAD and Broker)   Tel: +44 (0)20 7523 8000

 Bobbie Hilliam - NOMAD

 Alex Aylen - Sales

 Alma PR                                        Tel: +44 (0)20 3405 0205

 Rebecca Sanders-Hewett

  Susie Hudson

 Sam Modlin

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