REG - Westminster Group - Issue of CULN and Project Update

WestminsterAnnouncement

31/07/2018 07:05

RNS Number : 2352W
Westminster Group PLC
31 July 2018
 


 
 
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014
 
 
Westminster Group Plc
('Westminster', the 'Group' or the 'Company')
Issue of Convertible Redeemable Unsecured Loan Notes Raising $250,000 (£190,961)
& Iran Project Update
 
 
Westminster Group Plc (AIM: WSG), a leading supplier of managed services and technology-based security solutions worldwide, is pleased to announce that it has today raised $250,000 USD (£190,961) by way of an issue of £190,961 of convertible redeemable unsecured loan notes ("CULN"). 
 
The CULN have a maturity date of 31 July 2021 and an annual coupon of 5%. The CULN may be converted at any time in whole or in multiples of £10,000 at a conversion price of 10p per share.
 
The investor who has subscribed for the CULN is known to the Company and assists in business development. The proceeds of the issue will support corporate development costs.
 
 
Iran Project Update
 
On the 10 May 2018 the Company announced that its major long term managed services contract for one of Iran's 60 airports had been signed, subject to exchange of Board letters. However due to the US unilateral withdrawal from the Joint Comprehensive Plan Of Action (JCPOA) and despite the proposed equipment and services not being sanctioned activities, the Board also announced it had put the project on hold whilst the Company investigated the implications for the Company's banking, finance, insurance and supply chain.
 
On 26 June 2018 the Company issued a statement which provided further detail and confirmed that discussions were underway with all relevant parties including the client to find a way forward to the various challenges posed by the US actions.
 
The Company continues to receive high level UK government support and the EU is also putting measures in place to assist and protect EU companies against the challenges caused by the US extraterritorial actions which are expected to be largely in place and announced by 6 August 2018. Although these measures are expected to be helpful the Company is not solely relying on them and is pleased to report that it has made good progress on a number of fronts particularly with financing, banking and its supply chain with workable arrangements having been put in place on key issues.
 
The Company continues to address outstanding issues and will provide a further update on progress in due course.
 
 
For further information, please contact:
  




Westminster Group Plc


Media enquiries via Walbrook PR




Rt. Hon. Sir Tony Baldry - Chairman


 




Peter Fowler - Chief Executive Officer


 




Martin Boden - Chief Financial Officer


 




 


 




S. P. Angel Corporate Finance LLP (NOMAD & Broker)


 




Stuart Gledhill


020 3470 0470




Lindsay Mair


 




Caroline Rowe


 




 


 




Walbrook (Investor Relations)


 




Tom Cooper


020 7933 8780




Paul Vann


0797 122 1972




 


tom.cooper@walbrookpr.com




 
Notes:
 
Westminster Group plc is a specialist security and services group operating worldwide through an international network of agents and offices in over 50 countries.
 
Westminster's principal activity is the design, supply and on-going support of advanced technology security solutions, encompassing a wide range of surveillance, detection, tracking and interception technologies and the provision of long-term managed services contracts such as the management and running of complete security services and solutions in airports, ports and other such facilities together with the provision of manpower, consultancy and training services. The majority of its customer base, by value, comprises governments and government agencies, non-governmental organisations (NGO's) and blue chip commercial organisations.




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