11th Jul 2016 14:57
LONDON (Alliance News) - Avanti Communications Group PLC on Monday said it has launched a strategic review into potential opportunities to address its funding requirements, including a potential merger or sale of its businesses.
The satellite data services provider earlier this month said it was in talks to raise funds through an equity issue to meet working capital requirements. At the time, the company said it was in final talks to secure an export credit facility to shore up its finances but a pre-condition for this new debt facility was that it would have to raise at least GBP50.0 million, and was in talks with potential investors to raise the funds.
On Monday, Avanti said in response to initial interest, in parallel to the equity raise, it was launching a strategic review to explore additional opportunities including a corporate transaction such as a merger with or offer for the group by a third party, or a sale of its businesses.
Avanti said it will pursue all these opportunities to ensure the best outcome for its shareholders.
As such, Avanti said it is now considered to be in an offer period.
Shares in Avanti were up 17% at 29.20 pence on Monday.
By Hannah Boland; [email protected]; @Hannaheboland
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