15th Feb 2021 14:34
Path Investments PLC - energy and natural resources investment company - Terminates proposed transaction to acquire Zoetic International PLC's 75% stake in DT Ultravert, immediately. Says this is due to concerns raised during the preparation of the prospectus and recent press speculation concerning Zoetic, leading Path to question continuing with the transaction as it may pose an unnecessary risk to the company and its shareholders. Notes, in November, Path agreed to issue 30 million shares of 0.1 pence each to Zoetic as part of the transaction, which would see Zoetic keep its nitrogen assets in Kansas, US. Path would not be required to pay a royalty to Zoetic on DT Ultravert future revenue, and had agreed to pay GBP42,000 plus VAT in cash to Zoetic on completion towards its professional and technical costs. However, the long-stop date of December 31 for completion of the agreement was not achieved.
"Following the termination of the transaction, it is expected that Path's ordinary shares will resume trading on the Main Market of the London Stock Exchange in due course following consultation with the Financial Conduct Authority," says Path.
Zoetic current stock price: 71.55 pence, Path shares were untraded on Monday
Year-to-date change: up 2.2%
By Zoe Wickens; [email protected]
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