Market Tracker weekly round-up—18 January 2019

21 Jan 2019 | 4 min read

Weekly round-up of the latest corporate announcements, including a a reverse takeover by Path Investments plc, a joint venture between GCM Resources plc and Power Construction Corporation of China Ltd, delistings by Richoux Group plc and Bailey (C.H.) plc, capital reorganisations by Brack Capital Real Estate Investments N.V and Bailey (C.H.) plc, a secondary offer by Zegona Communications plc, and an AGM notice from Antofagasta plc.

The weekly round-up covers all deals announced within our statement of scope until 12 noon on the Friday of the previous week. Any deals announced after this time will be included in the following day's round-up.

All transactions covered in this update are available on the Market Tracker deal analysis tool containing over 4,000 public company deal summaries.

The Market Tracker weekly bulletin looks in more detail at the latest transaction developments, mini trends and analysis of corporate deal documents. For trend reports and other analysis see our Trend Reports subtopic.

New deals (and AGMs) announced:

AGMs

Announcement dateCompanyIndustry sectorKey information
16 January 2019Antofagasta plcMining, Metals & ExtractionAntofagasta has announced that its 2019 AGM will be held on 22 May 2019.

Capital reorganisations

Announcement dateCompanyIndustry sectorKey information
16 January 2019Brack Capital Real Estate Investments N.V.InvestmentBrack Capital Real Estate Investments has announced a proposed capital reduction by means of cancellation. The company has recently concluded a share buyback, and will cancel all shares repurchased up to a maximum of 210,000. The purpose of the capital reduction is to create a clean capital structure. The capital reduction is subject to shareholder approval at the company’s upcoming EGM on 28 February 2019.
14 January 2019Bailey (C.H.) plcEngineering & ManufacturingBailey (C.H.) has announced a proposed share consolidation whereby every 10,000 existing ordinary shares will be consolidated into one new ordinary share. The proposed capital reorganisation is subject to shareholder approval at a general meeting on 6 February 2019.

Delistings

Announcement dateDelisting companyIndustry sectorKey information
18 January 2019Richoux Group plcTravel, Hospitality, Leisure & TourismRichoux Group has announced an intention to cancel admission of the company’s ordinary shares to trading on AIM. The company’s directors believe that the company’s current structure is not appropriate to attract additional funding in the future. The board also believe that the company is unlikely to attract investment from third party investors, and there is limited liquidity in its ordinary shares. Due to this, they are of the opinion that the costs associated with maintaining the listing are disproportionate to the benefits to the company.The proposed delisting is subject to shareholder approval at a general meeting on 6 February 2019.
14 January 2019Bailey (C.H.) plcEngineering & ManufacturingBailey (C.H.) has announced an intention to cancel admission of the company’s ordinary shares to trading on AIM. The company’s board believe that due to the legal and regulatory burden associated with maintaining the company’s admission to trading on AIM and a lack of liquidity in the company’s shares, it is in the best interests of shareholders as a whole to delist. If approved by shareholders, the delisting will take place by 7:00 a.m. on 14 February 2019.

Joint ventures

Announcement dateDealIndustry sectorKey information
17 January 2019GCM Resources plc and Power Construction Corporation of China LtdMining, Metals & ExtractionGCM Resources has announced a joint venture agreement and a definitive Engineering, Procurement and Construction Contract with Power Construction Corporation of China, Ltd (POWERCHINA) for the development of 2×1,000MW Coal-Fired Power Plant Project (Power Plant) at the site of the company's proposed coal mine in North-West Bangladesh. 
The Power Plant proposed with POWERCHINA is part of the company's broader strategy to generate 6,000MW of low-cost electricity for the Bangladesh market utilising domestic coal, providing an estimated £9.66 billion in foreign investment.

Reverse takeovers

Announcement dateCompanyIndustry sectorKey information
18 January 2019Path Investments plc acquisition of ARC Marlborough Pty LimitedMining, Metals & ExtractionPath Investments announced that it has entered into Heads of Agreement with Australian incorporated company ARC Marlborough Pty. Path Investments will acquire 100% of the equity share capital of ARC Marlborough Pty, including all the assets owned by ARC, through the issue of new ordinary shares of £0.001 each in Path Investments.Following the completion of the acquisition, Path Investments will undertake an equity fundraising.
The proposed acquisition, upon completion, becomes a reverse takeover under the Listing Rules.

Secondary offers

Announcement dateIssuerIndustry sectorKey information
14 January 2019Zegona Communications plcMedia & TelecommunicationsZegona Communications announced a proposed placing of a minimum 95,238,096 shares in the capital of the company to raise proceeds of at least £100 million. The placing requires shareholder approval, and the company’s general meeting will be held on 7 February 2019.

 

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