AT Communications Group has announced that 10,638,298 ordinary shares of 1p each (“Shares”), have been conditionally placed at a price of 47 pence per ordinary share, raising gross proceeds of £5 million, (the “Placing”).
The proceeds of the Placing will be used to reduce indebtedness in line with strategy and for working capital to fund the growth of the business.
As part of the Placing, Ian Crawley, who will become the Group Finance Director on 17 July 2007 as announced, has purchased 851,064 Shares, increasing his total holding to 2,362,493 Shares or 3.07 per cent. of the total Shares in issue following the Placing.
Admission to AIM of the Shares is expected to take place on 7 August 2007 and is conditional upon approval by shareholders at an EGM to authorise directors inter alia to disapply pre-emption rights which has been convened for 6 August 2007.
ATC Directors in addition to Ian Crawley represent 24.34 per cent. of the Issued Share Capital of the Company and will vote in favour of the resolutions at the EGM.
The AT Comms announcement adds that their recent strategy built on the twin platforms of IP-based telephony and cross selling through its three divisions has been very successful. A good new business pipeline is beginning to build for the second half and prospects for the year as a whole look very encouraging.
Interim results for the six months ended 30th June 2007 are expected in September at which juncture shareholders will be updated on ATC’s further progress.