Update on Churchill Media Limited Loan

01 October 2013

Concha provides the following update regarding its loan to Churchill Media Limited ("CML").

On 13 March 2012, Concha entered into a loan facility agreement with Churchill Media Limited ("CML") for an initial period of ten months (the "Loan Agreement").  As announced previously, the loan was extended on 13 January 2013 and again, with revised terms, on 13 March 2013.  The loan has an outstanding balance of £750,000 plus accrued interest of c£50,000.  The loan and accrued interest were due for repayment on or before 30 September 2013.  The loan bears interest at the rate of 6% above LIBOR and is secured against the assets of CML which comprise investments in a number of TMT and media businesses. 

Concha stated in an announcement on 8 August 2013 that it had commenced a dialogue with CML regarding its ability to satisfy repayment of the loan either in cash or through an exchange for interests in investments held by CML or its associates.  The Company can now confirm that, whilst discussions remain ongoing, CML has failed to repay the outstanding balance and accrued interest related to this loan by 30 September 2013. Accordingly, a notice of default has been issued today by Concha to CML.

Whilst Concha continues discussions with CML and its sole director and shareholder, Richard Thompson, Concha reserves the right to exercise all or any of its rights and remedies under the security it holds in respect of the loan.

Further updates will be provided as appropriate.


Update re Moshen Limited Investment

Further to the announcement on 6 September 2013, that an administrator had been appointed to Moshen Limited ("Moshen"), the Company now expects that a liquidator will be appointed at a hearing to be held on 14 October 2013. Concha remains in discussions with a view to recovering value from the Moshen business for Concha and will provide further updates as appropriate.

 

Enquiries:

Concha plc
Chris Akers, Executive Chairman
chris.akers@srgplc.com
   
Strand Hanson Limited (Nominated Adviser and Joint Broker)
James Harris
Andrew Emmott
Richie Balmer
Tel: 020 7409 3494
   
PeterHouse Corporate Finance (Joint Broker)
Jon Levinson
Lucy Williams
Tel: 020 7926 0935
   
Cadogan PR (Financial PR)
Alex Walters
Tel: 07771 713 608

 

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