Cash shell Honye Financial Services said it expects its reverse takeover deal for Zoyo Capital will be satisfied entirely by the issue of new shares.
The due diligence and negotiation of the various definitive agreements has progressed well as has the preparation of the prospectus required for the purposes of the reverse takeover, it said in a statement.
“However, there are still a number of steps necessary before being able to complete the acquisition and apply for the suspension of the trading in the company's shares to be lifted,” it said in a statement.
“When (and we have to say "if") the acquisition of Zoyo is completed your board will be in a position to provide you with more detail about the target and how the then prevailing market conditions are likely to affect trading.”
At 31 July 2021, the company had cash of £1.13mln (2020: £1.58mln), derived from the subscription and admission to the Standard Listing segment of the London Stock Exchange in December 2018.
Losses in the year to July 2021 were £813,000.