7th Jan 2009 09:28
SPORT MEDIA GROUP PLC
("Sport Media", "SPMG", "or "the Company")
Financing update
The Board of Sport Media Group plc (AIM: SPMG.L), the integrated multi-media group that publishes the Sunday and Daily Sport newspapers and provides digital content for internet and mobile channels, was notified yesterday evening by the Company's bank that the Company is in breach of one of its banking covenants and agreement has not been reached on revised facility terms. However, revised facility terms continue to be negotiated and, in the interim, the bank has provided a two month extension to the current facility.
The Company is seeking to remedy the breach through further discussions with the existing finance providers and is also exploring a number of alternative financing sources and structures. The Board believes that a refinancing solution will be reached within the extension period and will continue to update the market with regards to future developments as and when they occur.
The Company is still expecting to release its Preliminary results, for the year to 31 July 2008, and a trading update tomorrow, as previously notified.
For further information, please contact:
Sport Media Group plc
Andrew Fickling, Chief Executive Officer Tel: + 44 (0) 161 236 4466
Andrew Fletcher, Chief Financial Officer Tel: + 44 (0) 20 8507 6965
www.sportmediagroup.co.uk
Daniel Stewart & Company plc
Simon Leathers/Tessa Smith Tel: + 44 (0) 20 7776 6550
www.danielstewart.co.uk
Notes to Editor:
On the 5th September 2007 Interactive World Plc acquired the entire issued share capital of Sport Newspapers Limited by way of a reverse takeover. At this time the name of the Company was changed to Sport Media Group Plc and the enlarged issued share capital was admitted to trading on AIM.
The Group has grown to become a recognised UK branded tabloid newspaper, publishing various titles including the Daily Sport and Sunday Sport. The Sport titles are sold to approximately 37,000 retail outlets around the UK by a network of wholesalers, both commercial and independent.
The Group's other activities include the sales of digital media content through mobile telephones via the internet to mobile customers of major UK network operators and users of leading UK internet key search engines.
Related Shares:
SPMG.L