REG - Tanfield Group PLC - Announcement regarding Smith Electric Vehicles <Origin Href="QuoteRef">TAN.L</Origin>

TanfieldAnnouncement

14/10/2015 07:00

RNS Number : 1412C
Tanfield Group PLC
14 October 2015
Tanfield Group PLC
("Tanfield" or the "Company")
Announcement regarding Smith Electric Vehicles
Further to its announcement of the 28th September 2015, the Board of Tanfield has been informed by the Board of Smith Electric Vehicles ("Smith") that it has raised sufficient funds to continue in business in the near term while it seeks to close a further fundraising. It has successfully raised a loan of $2.9 million which will be converted to Smith common stock on the closure of a proposed Subscription Rights Offering to existing Smith shareholders.
FDG, the Chinese electric vehicle manufacturer and a shareholder in Smith, has agreed to support the proposed Subscription Rights Offering pro rata to its current shareholding. Further, FDG has agreed to apply for any shortfall in the Subscription Rights Offering in order to assure approximately $10 million is raised. The Rights Offering will be open for 30 days. The Smith Board has informed Tanfield that on closing of the proposed Subscription Rights Offering this funding is sufficient to allow it to continue to pursue its strategic goal of pursuing a US listing and seeking to raise further finance.
The Tanfield Board will make a further announcement when the Rights Offering is closed and it has more detail on the implications and impact of this fund raising to its shareholders. 
Contacts:
Tanfield Group Plc
Roy Stanley
0845 155 7755
WH Ireland Limited - Nominated Adviser
James Joyce / James Bavister
0207 220 1666
Peterhouse Corporate Finance Limited - Broker
Duncan Vasey / Peter Greensmith
0207 220 9797

This information is provided by RNS
The company news service from the London Stock Exchange
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