28 April 2008 - In the interim announcement on 18th December 2007 it was announced that Micap plc was reviewing all aspects of its business to ensure it was maximising shareholder value. As a consequence of this review a number of opportunities have been identified to dispose of certain parts of the business which no longer fit the focus on food ingredients.
The Company is now actively seeking to realise these interests via discussions with agents and directly with potential purchasers and will advise of progress as it occurs.
During this review process, a number of potential acquisition opportunities have also arisen which could enhance the business significantly and several of these have been investigated in detail.
The time and finance required in order to conduct full due diligence on one of these acquisition opportunities will involve the Company in expenditure which is outside its normal trading operations, and it will be necessary to provide additional external funding to meet these costs.
ISSUE OF LOAN STOCK
The Board has explored a number of options to meet this financing requirement and has concluded that the only option available in the present market conditions is the issue of loan stock. Accordingly, the Board today announces that it has raised additional funding of £210,000 by way of an issue for cash of new Loan Stock to the Directors and other private shareholders.