30th Nov 2015 10:45
LONDON (Alliance News) - Internet television products company PeerTV PLC on Monday said it has tabled a restructuring proposal for holders of secured loan notes issued by its Digitek SMT Assemblies Ltd subsidiary.
Earlier this month, PeerTV said it would conduct a review of all of its operations after Digitek failed to secure approval at a meeting to restructure its loan notes. Following that rejection, PeerTV said it is "no longer going to fund the operations of Digitek" and is undertaking a review of all of its operations. Although it will stop funding Digitek, it said it remains committed to the television-over-the-internet business.
Digitek SMT Assemblies is a subsidiary of Digitek Holdings Ltd, in which PeerTV holds a 64.1% stake. Digitek assembles electronics products and components for companies in the telecommunications industries.
PeerTV said it has made an offer to noteholders in Digitek to exchange 100% of the loan notes in issue for a 70% stake in Digitek.
It has made the offer following weaker than expected trading for the Digitek business this year and the inability of the company to finance itself. PeerTV reiterated it will no longer support the Digitek business.
Shares in PeerTV were untraded on Monday, having last traded at 3.30 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
PTV.L