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Formation Group Jumps As It Uses Property Profit To Cut Loan

14th Feb 2014 10:29

LONDON (Alliance News) - Formation Group PLC saw its shares rise Friday after it said it had received GBP501,000 from its profit sharing agreement on a property in Commercial Road, London, and had used the money to reduce its working capital loan with the Kennedy Family Discretionary Settlement.

In a statement, Formation said it now has GBP97,842.42 outstanding on the loan. It is paying 10% a year interest.

The use of profits from the Commercial Road property to pay down the loan was part of the laon agreements.

Formation shares were up 8% at 1.08 pence Friday morning, one of the biggest gains on AIM.

By Steve McGrath; [email protected]; @SteveMcGrath1

Copyright © 2014 Alliance News Limited. All Rights Reserved.


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