07:00 London, 09:00 Helsinki, 20 January 2014 - Afarak Group Plc, Stock Exchange Release
AFARAK DIRECTED SHARE ISSUE CANCELLED
Further to the announcement of 18 December 2013, the Board of Directors of Afarak Group Plc ("Afarak" or the "Company") (LSE: AFRK, OMX: AFAGR) announces that the directed share issue to Sail Resources Pte ("Sail") has been cancelled. Sail subscribed for nil shares by the deadline of 18 January 2014.
Afarak had announced 18 December 2013 that the Board of Directors had resolved to offer five million (5,000,000) new ordinary shares in the Company to Sail at a subscription price of EUR 0.45 per share. The Company had a subscription commitment from Sail according to which Sail would subscribe for all the offered shares.
Danko Koncar, CEO comments:
"I'm disappointed that in spite of the common interest the share issue to Sail Resources did not materialize. However, at the same time I'm happy to inform that Afarak has entered into a long term sales agreement with Sail so our beneficial co-operation with Sail Resources continues."
The cancellation does not materially affect the financial position of the Company.
AFARAK GROUP PLC
BOARD OF DIRECTORS
For additional information, please contact:
Afarak Group Plc
Danko Koncar, CEO, +44 (0)20 7376 1175, danko.konchar@afarak.com
Investec Bank Plc
Jeremy Wrathall, +44 (0)20 7597 5970
Afarak Group is a chrome mining and minerals producer focused on delivering sustainable growth with a speciality alloys business in southern Europe and a ferro alloys business in southern Africa. The Company is listed on NASDAQ OMX Helsinki (AFAGR) and the Main Market of the London Stock Exchange (AFRK).
www.afarakgroup.com
Distribution:
NASDAQ OMX Helsinki
London Stock Exchange
main media
www.afarakgroup.com