4th Feb 2020 11:41
(Alliance News) - Stranger Holdings PLC on Tuesday said its loss widened in the first half of its current financial year, as the company continues to make progress on takeover of two firms.
The investment company reported a pretax loss of GBP310,000 for the six months to the end of September 2019 compared to GBP254,000 loss a year earlier, due to a 19% increase in administrative expenses to GBP166,000 from GBP140,000.
In addition, Stranger Holdings said its finance costs grew by 48% to GBP114,000 from GBP77,000 year-on-year.
Back in October, Stranger Holdings said it it had signed non-binding agreement to buy one UK and one US company, which hold technology mineral assets including cobalt, nickel and associated metals. No details of the acquisition targets were disclosed.
Upon completion of these transactions, Stranger Holding intends to develop a subsidiary of cobalt assets, called Recyclus Group, which will be involved in the clean recycling of tyres and batteries in the UK.
Stranger Holdings said the sale & purchase agreements have been drafted and work has commenced on fund raising for the proposed reverse takeover. The acquisitions, however, are subject to the completion of due diligence, documentation and compliance with all regulatory requirements.
Looking ahead, the company said it plans to complete these transactions "as soon as practicable".
Stranger Holdings shares remain suspended, pending the completion of takeover. They were last quoted at 1.38 pence each.
By Evelina Grecenko; [email protected]
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