REG - Kromek Group PLC - Financing Update

KromekAnnouncement

28/10/2024 07:00

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RNS Number : 7723J  Kromek Group PLC  28 October 2024

28 October 2024

 

Kromek Group plc

("Kromek" or the "Company")

 

Financing Update

 

Kromek (AIM: KMK), a leading developer of radiation and bio-detection
technology solutions for the advanced imaging and CBRN detection segments, is
pleased to announce that it has agreed an additional £4.9m secured term loan
(the "Additional Loan"). The Additional Loan is being provided by Polymer N2
Ltd ("Polymer"), an investment vehicle controlled by Dr Graeme Speirs, a
significant shareholder and a current finance provider to the Company.

 

The Additional Loan carries the same terms as the loan facility previously
announced on 28 September 2023 and has a repayment date for the principal sum
of 27 March 2025, with an option to extend for a further 12 months. It carries
a fixed interest rate of 9.5%, which is payable quarterly, and Kromek has the
option to pay the interest through the issue of new ordinary shares of 1p each
in the Company ("Ordinary Shares") at the trailing 10-day volume weighted
average price of the Company's Ordinary Shares on the date that payment falls
due.

 

Polymer and Dr Speirs hold an aggregate of 86,686,849 Ordinary Shares in
Kromek, representing 13.51% of the issued share capital of the Company.

 

The Additional Loan with Polymer is a related party transaction for the
purposes of Rule 13 of the AIM Rules. The Directors, having consulted with the
Company's Nominated Adviser, Cavendish Capital Markets, consider that the
terms of the Additional Loan are fair and reasonable insofar as the Company's
shareholders are concerned.

 

 

 

For further information, please contact:

 

 Kromek Group plc
 Arnab Basu, CEO                                                        +44 (0)1740 626 060

 Paul Farquhar, CFO

 Cavendish Capital Markets Limited (Nominated Adviser and Broker)        
 Geoff Nash/Giles Balleny/Seamus Fricker- Corporate Finance             +44 (0)20 7220 0500

 Tim Redfern- ECM

 Michael Johnson/Tamar Cranford-Smith - Sales

 Gracechurch Group (Financial PR)
 Harry Chathli/Claire Norbury/Henry Gamble                              +44 (0)20 4582 3500

This announcement contains inside information for the purposes of Article 7 of
Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance
with the Company's obligations under Article 17 of MAR. The person responsible
for making this announcement on behalf of the Company is Paul Farquhar, Chief
Financial Officer.

 

Kromek Group plc

 

Kromek Group plc is a leading developer of radiation detection and
bio-detection technology solutions for the advanced imaging and CBRN detection
segments. Headquartered in County Durham, UK, Kromek has manufacturing
operations in the UK and US, delivering on the vision of enhancing the quality
of life through innovative detection technology solutions.

 

The advanced imaging segment comprises the medical (including CT and SPECT),
security and industrial markets. Kromek provides its OEM customers with
detector components, based on its core cadmium zinc telluride (CZT) platform,
to enable better detection of diseases such as cancer and Alzheimer's,
contamination in industrial manufacture and explosives in aviation
settings.

 

In CBRN detection, the Group provides nuclear radiation detection solutions to
the global homeland defence and security market. Kromek's compact, handheld,
high-performance radiation detectors, based on advanced scintillation and
solid-state readout technology, are primarily used to protect critical
infrastructure, events, personnel and urban environments from the threat of
'dirty bombs'.

 

The Group is also developing bio-security solutions in the CBRN detection
segment. These consist of fully automated and autonomous systems to detect a
wide range of airborne pathogens.

 

Kromek is listed on AIM, a market of the London Stock Exchange, under the
trading symbol 'KMK'.

 

 

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