The board of Webis announces that it has today issued 23,344,977 new ordinary shares of 1 penny each ("Ordinary Shares") in the Company to Burnbrae Limited ("Burnbrae"). The new Ordinary Shares were issued pursuant to the terms of a convertible loan note ("the Loan Note") entered into by Burnbrae and the Company on 23 February 2007, under which Burnbrae provided £300,000 of funding to the Company. The Loan Note carried a coupon rate of LIBOR plus 4%.
The terms of the Loan Note provided Burnbrae with the right, up to the due date of repayment of 23 February 2011, to convert at any time the aggregate amount of the principal plus interest outstanding into Ordinary Shares at the rate of one Ordinary Share for every 1.525 pence of such amount converted. Burnbrae notified the Company of its intention to convert the aggregate amount outstanding into Ordinary Shares on 23 February 2011.
Application will be made for the admission of the 23,344,977 new Ordinary Shares to trading on AIM. It is expected that admission will become effective and dealings will commence in the new Ordinary Shares on 2 March 2011.
On admission to trading of the 23,344,977 new Ordinary Shares, the Company will have 230,171,644 Ordinary Shares with voting rights. Burnbrae Limited’s notifiable interest is now in 131,704,442 Ordinary Shares, representing 57.22% of the Company’s enlarged issued share capital.