Monday 06th Sep, 2010News
Proposed Disposal of The Airtime Group - Notice of General Meeting
11 Mar 2009
Proposed Disposal of the Entire Business and Certain Assets of The Airtime Group Limited Proposed Investing Strategy Notice of General Meeting The board of directors of the Company (the Board) is pleased to announce today a proposal for the disposal of the entire business and certain assets of the Airtime Group Limited (TAG) to Opal Telecom Limited (Opal) for an aggregate consideration of £752,360 in cash (Proposal). TAG is the main operating subsidiary of Canisp and supplies fixed line communications services to corporate and residential customers in the UK. In the year ended 31 March 2008, TAG achieved a loss after tax of £50,829 on turnover of £2,592,996 (2007 loss of £1,450,369 on turnover of £2,804,674). The Board has been open to strategic solutions to recover shareholder value, whilst continuing to work hard to grow the Company's customer base and maintain a strict control of costs despite the very competitive economic climate throughout that period. TAG has continued to record losses, although the degree of losses has reduced recently. The board considered that further efficiencies could only be achieved within a larger organisation and hence considered the sale of TAG's business as being the most suitable means of achieving the objective stated above. The Board has spoken to a number of parties interested in acquiring all or part of the Company's business, but these interests did not meet its valuation of the Canisp group's business at the time. As the effect of the Proposal will be to divest the Company of all its trading business activities, the Company will, upon disposal of TAG's entire business and certain assets, be treated as an investing company for the purposes of the AIM Rules for Companies (AIM Rules). The Proposal is subject to, amongst other things, the approval of shareholders in general meeting. Shareholders are also asked to approve the Investing Strategy. Full details of the Proposal and Investing Strategy are set out in the Appendix below. A circular will be posted to shareholders today with a notice of general meeting (GM) to be held on 30 March 2009 at 11:00 am at the offices of Fladgate LLP, 25 North Row, London, W1K 6D ("GM"). Canisp Plc - Circular.pdf
