25th Nov 2009 07:00
25 November 2009
COMPANY HEALTH GROUP PLC
(the "Company " or the "Group")
POSSIBLE DISPOSAL
and
RECEIPT OF WINDING UP PETITION
Company Health Group plc (AIM: CHT), the AIM listed provider of healthcare services (including occupational health, ergonomics, recruitment, physiotherapy, medical evidence collection and testing for financial services companies), is today providing an update to its shareholders. The Company's shares have been suspended from trading on AIM since 29 June 2009.
Over recent months the Company's management has been actively pursuing a number of transactions and is currently in advanced discussions with a third party which, subject to due diligence, contract and shareholder approval, will lead to the Group selling all its operating subsidiaries. It is currently anticipated by the Board that contracts to dispose of the Group's subsidiaries will be entered into by the Company before the end of the current year. Following completion of the disposals, the Group's operating subsidiaries will form part of a significantly enlarged trading group in the healthcare sector and in which the Company will be a shareholder. In addition the Company will become an "investing company" for the purposes of the AIM Rules for Companies and the Board intend to set out an investment strategy for approval by the Company's shareholders at the same time as seeking shareholder approval for the disposals.
The Company also announces that a winding up petition against the Company (the "winding up petition") has been advertised. The winding up petition is due to be heard on 3 December 2009. The petition has been served by Messrs lain Mackinnon, Robert Parker and Peter Davies (the "Petitioners") who provided bridging finance of £200,000 to the Company. The Board notes that Mr lain Mackinnon was, at the time the bridging finance was provided to the Company, acting as a corporate finance consultant to the Company.
The Board has kept the Company's principal creditors fully informed of the discussions relating to the possible disposal of the Group's operating subsidiaries and, with the exception of the Petitioners, the principal creditors have been supportive of the proposed disposals. The Board has used its best efforts to have the winding up petition withdrawn. However, notwithstanding these efforts, the advanced state of the disposal discussions (including the signing of heads of terms with the proposed buyer of the Group's operating subsidiaries) and the support of its other creditors, the Petitioners have now formally advertised the petition.
Shareholders should be aware that in the event that the winding up petition is granted the Board will have no option but to appoint a receiver to the Company.
However, the Board is in discussions with the Company's advisers and is taking advice as to what steps it should take to deal with the winding up petition and to progress the proposed disposals which the Board is confident will be completed.
A further announcement will be made following the petition hearing.
For further information contact:
|
Company Health Group plc |
Tel: 020 7553 8820 |
|
Ralph Gough, Chairman |
|
|
Allenby Capital Limited |
Tel: 020 3328 5656 |
|
Rod Venables |
|
|
Tavistock Communications |
Tel: 020 7920 3150 |
|
Simon Hudson |
Related Shares:
CHT.L