21 February 2011 – update and equity fundraising
The company has decided to approach investors and shareholders in order to raise up to £8 million as soon as possible. As previously announced it will still proceed with refinancing to strengthen further the working capital available to the business.The refinancing will release an additional sum of approximately £8.5 million of capital net of fees and the cost of interest rate hedges.
AssetCo has stated that it is in advanced discussions in relation to additional contracts in the Middle East and elsewhere and expects to announce details of these shortly. We still believe that the company has the potential to deliver strong returns over the longer term. However, details of the equity fundraising are far from clear and for now we must AWAIT DEVELOPMENTS.