Issue of Equity (5282Z)

TIDMCGA

RNS Number : 5282Z

China Gateway International PLC

14 January 2011

FOR IMMEDIATE RELEASE 14 January 2011

China Gateway International PLC

("CGI" or "the Company")

Issue of Equity

CGI is pleased to announce that it has issued to its major institutional shareholder 480,000 new ordinary shares of 1p each ("Shares") at a price of 12.5p per Share, that price being equal to the closing mid-market price on AIM on 23 December 2010. The subscription has raised GBP60,000 in cash before expenses which will be used for general working capital purposes.

The issue is wholly to LACV Limited ("LACV") (a fund under the discretionary management of Laxey Partners Limited who including discretionary funds under management currently own 24.49% of the Company's issued share capital) and accordingly the subscription constitutes a "related party" transaction under the AIM Rules.The Directors having, consulted with the Company's Nominated Adviser, consider that the terms of the subscription are fair and reasonable insofar as its shareholders are concerned.

Application will be made for the Shares, which when issued will rank pari passu with all existing ordinary shares, to be admitted to trading on AIM. Trading is expected to commence on or around 20 January 2011.

Following the subscription Laxey Partners (including funds under their discretionary management) will hold 6,584,911 ordinary shares of 1p each representing 25.91% of the Company's issued share capital.

It is the intentions of Omega Properties Limited ("Omega") and Blenheim Limited ("Blenheim"), which are associated with Ken Wills and Chris Seymour-Prosser (Directors of the Company) respectively, shortly to subscribe on a similar basis (or at the then closing mid-market price if higher).

Ends

For further information, please contact:

 
China Gateway International PLC 
 KenWills                         +44 (0) 1843 822444 
 
Beaumont Cornish Limited 
 Roland Cornish                   +44 (0) 20 7628 3396

This information is provided by RNS

The company news service from the London Stock Exchange

END

IOEDKQDNABKDNDD

China Gateway (LSE:CGA)
過去株価チャート
から 11 2024 まで 12 2024