26th Feb 2009 16:19
AVARAE GLOBAL COINS PLC
NOTICE OF EXTRAORDINARY GENERAL MEETING
London (AIM: AVR): 26 February 2009 - Avarae Global Coins Plc (the "Company"), the UK's only publicly traded specialist investment company dedicated to investing in rare and high quality coins, announces that it is today posting a circular to shareholders (the "Circular"), including a notice convening an extraordinary general meeting (the "EGM"). At the EGM a resolution will be put to shareholders for approval to grant the Company increased authority to make market purchases of ordinary shares in the capital of the Company from 10 per cent. to 25 per cent. of the Ordinary Shares in issue.
Since late 2008, your Board has been made aware of potentially significant numbers of Ordinary Shares becoming available for sale from a small number of Shareholders which, the Directors believe, is having a detrimental effect on the share price of the Company's Ordinary Shares. Having consulted with some of its largest institutional Shareholders, the Board is of the opinion that it would be in the best interests of Shareholders to increase the Company's existing authorities to make market purchases of Ordinary Shares from 10 per cent. to 25 per cent. of the Ordinary Shares in issue.
As at 31 December 2008, the Company had unaudited net assets of more than £11.0 million, of which more than £2.0 million was net cash. The Directors, and a significant proportion of the Company's Shareholders, believe this cash should be used to acquire Ordinary Shares if such an opportunity arises in a manner which increases the net asset value of the Company. The Directors intend to use the authority granted by the Resolution to make opportunistic market purchases of Ordinary Shares in order to increase the Company's net asset value per Ordinary Share, which, at 31 December 2008, stood at approximately 10.9 pence (unaudited). The Directors will only exercise the authority to purchase Ordinary Shares where they consider that such purchases will be in the best interests of Shareholders generally and will result in an increase in net asset value per Ordinary Share.
The EGM is to be held at the offices of the Company at Ground Floor, East Suite, Exchange House, 54-58 Athol Street, Douglas, Isle of Man at 12:00 noon on 23 March 2009. Copies of the Circular will shortly be available on the Company's website at www.avarae.com.
For further information on Avarae Global Coins plc, please contact:
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Brian Hatton/Matthew Wood |
+44 (0)1624 615614 |
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Avarae Global Coins plc |
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Adrian Hadden/Stewart Wallace/Lorraine Delannoy |
+44 (0)20 7523 8350 |
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Collins Stewart Europe Limited |
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Sarah Scott/Gordon Puckey |
+44 (0)20 7947 2857 |
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Phoenix Financial PR |
Related Shares:
AVR.L