Everest Global Plc - Exercise of option for the sale of Dynamic Intertrade (Pty) Ltd
PR Newswire
LONDON, United Kingdom, January 17
17 January 2024
Everest Global plc
("Everest" or the "Company")
Exercise of option for the sale of the remaining 51% shares owned in Dynamic Intertrade (Pty) Ltd ("Dynamic")
The Company is pleased to announce that the Company and K2 Spice Limited ("previously VSA NEX Investments Limited") ("K2") have extended the exercise period of the put and call option agreement ("Option Agreement"), that was detailed in the Annual Financial Statements for the year ending October 2022 and announced on 27 July 2023, from 31 December 2023 to 31 January 2024 and the option was exercised by K2 Spice Limited on 16 January 2024.
In October 2022, K2 subscribed for such number of new shares in the capital of Dynamic resulting in K2 holding 49% of the enlarged issued share capital of Dynamic for a consideration of ZAR10,982, with the Company retaining the remaining 51%. The Company also agreed to assign certain debts owing by Dynamic, amounting to £4.2 million which had been fully impaired in prior years, to the Company and certain other parties to K2 in consideration for K2 paying to the Company £100,001 and agreeing to fund Dynamic so as to enable Dynamic to carry on its business in the ordinary course until such time as the Company ceased to hold any further shares in Dynamic. This assignment agreement resulted in K2 having a non-controlling interest in Dynamic and Dynamic was consolidated as such.
At the same time, the Company and K2 also entered into the Option Agreement which was extended by mutual agreement and exercised on 16 January 2024. Under the Option Agreement the Company granted to K2 the option to acquire 11,430 shares in Dynamic, being the remaining 51% of Dynamic held by the Company, subject to the satisfaction of certain conditions and subject to certain time restrictions, for £1. At 31 October 2023 Dynamic was still controlled by Everest Global and will be consolidated in the group financial statements for that year.
At the time the above arrangements were entered into, due to Andrew Monk being a director of the Company, VSA Capital and K2 at the time, K2 was deemed to be a related party of the Company and therefore such agreements were deemed to be related party transactions for the purposes of Rule 7.3 of the Disclosure Guidance and Transparency Rules.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).
The Directors of the Company take responsibility for the contents of this announcement.
For further information please contact the following:
Everest Global plc |
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Andy Sui, Chief Executive Officer Rob Scott, Non-Executive Director | +44 (0) 776 775 1787 +27 (0)84 6006 001 |
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Cairn Financial Advisers LLP |
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Jo Turner / Emily Staples |
+44 (0) 20 7213 0885 / +44 (0)20 7213 0897 |
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