MLT08 – Melita Capital group status updateWednesday, August 3, 2011
This is a company announcement being issued by Melita Capital plc (the “Company”) in accordance with Chapter 5 of the Listing Rules:
Further to the disclosures made in respect of the restructuring and capital injection referred to company announcement MTL07 dated 23 December 2010, the Company is pleased to announce that on 2 August 2011, the Company’s ultimate shareholders, affiliate company Melita Mobile Limited, Melita plc and the syndicate of banks financing part of the group of companies owned by the Company’s parent Superholdco Limited, reached agreement for the amendment to existing bank loan arrangements.
As a result of this agreement, the ultimate shareholders of the Company will inject a further EUR 8.5 million into Melita Mobile Limited during 2011. 70% shareholder Melita plc will also make available to Melita Mobile Limited a further EUR 14.5 million loan facility to be drawn down in a series of tranches between 2011 and 2015, repayable in 2018.
The abovementioned capital injections are in addition to a further EUR 10 million injected by the Company’s ultimate shareholders into Melita Mobile Limited during the period December 2010 – June 2011.
Melita Group CEO Andre Torriani commented:
“Once again the Company’s ultimate shareholders have demonstrated a commitment to invest in the continued growth of the Melita Mobile business. This funding, along with the agreement reached with our Senior Lenders, strongly positions the Melita Capital Group to pursue the investments required to achieve further growth of its core businesses.”
With respect to the Company’s subsidiary Melita Infrastructure Limited, the company which owns and operates the high capacity submerged fiber optic cable link from Malta to mainland Europe, as part of the transaction referred to above the Subsidiary’s seven year service contract with Melita plc to provide it with a strategic telecommunications link to the rest of Europe has been extended to December 2016.
By order of the Board.
Melita Capital plc