Final Results - 24 November 2011

Press Release

RNS Number : 6632S

Rubicon Diversified Investments PLC

 

24 November 2011

Rubicon Diversified Investments Plc (“The Company”) 
Statement of results for the year ended 30 June 2011

 

Rubicon Diversified Investments Plc (AIM: RUBI) announces its results for the year ended 30 June 2011.

 

Highlights

  • Sale of Rubicon Software Limited for £140,000 plus conversion of 9.3 million of the Company’s shares into deferred shares, in August 2011
  • Change of strategic direction as investment company
  • Placing of new shares to raise £400,000 announced in November 2011

For more information contact:

 

Rubicon Diversified Investments Plc www.rubicondiv.co.uk
Robert Burnham, Chairman - 07776 133421

 

WH Ireland Limited (Nominated Advisor and Broker) www.wh-ireland.co.uk
John Wakefield – 0117 945 3420

 

Chairman’s statement

 

Disposal of Rubicon Software Limited

 

As announced on 14 July 2011 and confirmed on 5 August 2011, the Company sold its entire shareholding in Rubicon Software Limited (RSL) to iAccel Limited, a company controlled by Alistair Hancock. Consideration for the sale amounted to approximately £140,000 in cash plus the conversion of 9,312,576 of the Company’s shares (representing approximately 21% of the Company’s issued share capital) held by Alistair Hancock, into deferred shares to which no rights attach.

 

The rationale for the disposal was explained in some detail in the announcement on 14 July 2011. In short, the Directors were of the view that the prospects for RSL yielding a significant increase in shareholder returns were small, and hence they believed that the Company should take a new strategic course as an investment company with a view to creating increased shareholder value through diversifying into a new market sector or sectors offering more visible growth potential.

 

This course of action was approved by shareholders at a general meeting held on 5 August 2011 and the disposal was duly completed.

 

Shortly afterwards, the Company’s name was changed to Rubicon Diversified Investments Plc, reflecting the change in strategic direction.

 

Placing of shares

 

As announced on 18 November 2011, the Company has raised £400,000 by way of a placing of 40,000,000 ordinary shares at 1p per share with Lonrho PLC and certain individual investors. Of the 40,000,000 ordinary shares, the placing of 36,000,000 is conditional on the passing of various resolutions at a general meeting to be held on 13 December 2011.

 

The proceeds of the placing will be used to enable the Company to undertake due diligence on identified potential acquisition opportunities. More details of the placing and the resolutions to be put before shareholders at the general meeting to be held on 13 December 2011 were given in the circular to shareholders dated 18 November 2011 which was sent to shareholders and is available for download from the Company’s website at www.rubicondiv.co.uk.

 

Financial results

 

As the disposal was completed after the year end the accompanying Group financial statements include the results of RSL. However, as the disposal was highly probable as at the period end, those results are classified as discontinued activities.

 

The Group’s loss for the year amounts to £43,000 (2010: profit of £43,000) which includes profit from discontinued operations of £25,000 (2010: £91,000).

 

Future plans and prospects

 

The Directors are investigating various investment opportunities consistent with the Company’s proposed new investing policy. On 18 November 2011 the Company announced its intention to focus on investment opportunities in the aviation and aviation services sector with a particular focus on Africa, subject to the new investing policy being adopted by shareholders at the General Meeting to be held on 13 December 2011.

 

We are confident that in the coming months, assisted by our new shareholders and Board members, we will be able to identify one or more suitable opportunities for acquisition, and we look forward to building the Company into a significant participant in the global aviation and aviation services sector with a particular focus on Africa.

 

Robert Burnham

Chairman

23 November 2011

 

Posted on 24th November 2011