24 December 2019
CentralNic Group plc
("CentralNic" or the "Company" or the "Group")
Completion of the acquisition of Team Internet AG ("Team Internet"), issue of Consideration Shares and further issue of senior secured bond
CentralNic Group PLC (AIM: CNIC), the company that supplies domain name and web services subscriptions over its proprietary platforms to millions of businesses globally, is pleased to announce that, further to the announcement released on 18 November 2019, the acquisition of Team Internet, a web service provider based in Munich, Germany, is now complete.
CentralNic also announces that, pursuant to the terms of the Transaction, as well as cash consideration of US$45 million, the Company agreed to issue 3,911,650 ordinary shares of £0.001 each in the capital of the Company, credited as fully paid (the "Consideration Shares"). The Consideration Shares are subject to a lock-in period of 12 months, during which the vendors of Team Internet are unable to dispose of their Consideration Shares, followed by a period of 6 months during which they may only do so with the Company's consent.
As announced on 18 November 2019, the cash element of US$45 million (US$3 million of which is deferred) is being funded via a €40 million further bond issue of its existing senior secured bond (the "Tap Issue"). More details on the bond terms were announced on 30 September 2019. The Tap Issue has been subscribed by Macquarie Principal Finance and will be admitted to the Oslo Stock Exchange within 3 months.
An application has been made to the London Stock Exchange for a listing of securities in respect of the Consideration Shares to be admitted to trading on AIM ("Admission"). It is expected that admission will become effective at 8:00 a.m. on 31 December 2019. The Consideration Shares will rank pari passu in all respects with the existing Ordinary Shares of the Company.
Following Admission, the Company's enlarged share capital comprises 185,705,128 Ordinary Shares with one voting right per share. There are no shares held in treasury. The total number of voting rights in the Company is therefore 185,705,128. This figure of 185,705,128 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.
Ben Crawford, CEO of CentralNic, said: "The acquisition of Team Internet is a natural extension of CentralNic's domain sales business and a major step in adding domain related web services to CentralNic's service offering. It is another web-based recurring revenue business that will be significantly earnings enhancing for the financial year ending 31 December 2020."
For further information:
CentralNic Group Plc
Ben Crawford, Chief Executive Officer
Don Baladasan, Group Managing Director
Michael Riedl, Chief Financial Officer
+44 (0) 203 388 0600
Zeus Capital Limited (NOMAD and Joint Broker)
Nick Cowles / Jamie Peel (Corporate Finance)
John Goold / Rupert Woolfenden
+44 (0) 161 831 1512
+44 (0) 203 829 5000
Stifel (Joint Broker)
Fred Walsh / Neil Shah / Alex Price
+44 (0)20 7710 7600
Newgate Communications (for Media)
+44 (0) 203 757 6880
About CentralNic Group plc
CentralNic (AIM: CNIC) is a London-based AIM-listed company which drives the growth of the global digital economy by developing and managing software platforms allowing businesses globally to buy subscriptions to domain names, used for their own websites and email, as well as for protecting their brands online. Its core growth strategy is identifying and acquiring cash-generative businesses in its industry with annuity revenue streams and exposure to growth markets and migrating them onto the CentralNic software and operating platforms.
CentralNic operates globally with customers in almost every country in the world. It earns recurring revenues from the worldwide sales of internet domain names and other services on an annual subscription basis.
For more information please visit: www.centralnicgroup.com