4th Nov 2008 09:00
4 November 2008
RAVEN MOUNT GROUP PLC FLOATS ON AIM
Raven Mount Group plc (the "Company") announces that the Company's shares have been admitted today to trading ("Admission") on AIM, a market of the London Stock Exchange plc ("AIM"). The Company's trading symbol is "RAV".
The Company is the holding company of the previous AIM quoted company, Raven Mount PLC, which in addition to property development in the UK and overseas, was also previously engaged in the operation of independent living facilities and the provision of property fund management services to Raven Russia Limited ("Raven Russia").
The Company's current developments include mainstream property residential schemes at Lewes, Brackley and Sheffield as well as the development of second homes projects through its joint venture in the Cotswolds, The Lakes and potentially, subject to planning, in Grand Bahama. The Company intends to complete and realise cash from these schemes. It will also look to utilise the entrepreneurial skills of its management team, their extensive contacts and their past experience of transacting in difficult markets, in seeking opportunities in the increasingly distressed property market and the market more generally. Such transactions may involve, for example, joint ventures with financial institutions in managing out their distressed assets.
In addition, the Company and its subsidiaries (the "Group") currently have significant shareholdings in Raven Russia (5.7 per cent.) and Oriel Securities Limited (c. 15 per cent.), which are held as current assets in the balance sheet as it is not the Group's intention to hold these assets in the long term.
Following Admission, pursuant to the Framework Agreement entered into to effect the disposal of the Raven Russia property fund management business, Raven Mount will sell its subsidiary Raven Russia Property Advisors Limited ("RRPA") to Raven Russia for a consideration of £15.0 million in cash and 16 million new Raven Russia Shares. Completion of the sale of RRPA is expected to complete on or around 26 November 2008.
Capitalised terms in this announcement have the same meaning as set out in the circular posted on 5 September 2008 unless the context requires otherwise.
Enquiries:
Raven Mount Group plc 020 7235 0422
Bim Sandhu, Chief Executive
Mark Kirkland, Finance Director
Shore Capital and Corporate Limited 020 7408 4090
Nominated Adviser and Joint Broker
Guy Peters
Pascal Keane
Oriel Securities Limited 020 7710 7600
Joint Broker
Malcolm Strang
Michael Shaw
Notes for Editors:
Raven Mount Limited ("Raven Mount") was founded in November 2003 by Anton Bilton (Executive Chairman), Bim Sandhu (Chief Executive) and Glyn Hirsch (Executive Deputy Chairman) and took control of Swan Hill Company PLC, the housebuilder, in December 2003 in a hostile takeover supported by Swan Hill's four largest shareholders.
In December 2004, shareholders approved the reversal of Anton Bilton and Bim Sandhu's private residential development Company, Raven Property Holdings plc, for a total consideration of £39.9 million paid in Raven Mount shares and began a strategic reinvention of the business.
In July 2005, Raven Mount subscribed £10 million towards the £153 million flotation of Raven Russia Limited ('Raven Russia') on AIM. Raven Russia was formed at Raven Mount's instigation as a vehicle for institutional shareholders to invest in the Russian property market with an initial focus on the Warehouse property market in the Moscow and St Petersburg regions. Raven Mount's wholly owned subsidiary, Raven Russia Property Management Limited, acts as the property adviser to Raven Russia. In April 2006, Raven Russia raised a further £310 million through the placing of 270 million shares at £1.15 per share.
In July 2008, Raven Mount announced the proposed disposal of Raven Mount's Russian property fund management business to Raven Russia. This transaction, which has been approved by Raven Mount shareholders, is due to complete at the end of November 2008.
Raven Mount has outline planning consent, in a joint venture with John Hitchcox and Yoo Limited, comprising second homes in 650 acres at Coln in the Cotswolds, of which it currently has detailed consent for 91 units.
www.theravenCompany.co.uk
www.thelakesbyyoo.com
www.ravenrussia.com
Related Shares:
RAV.L