StockMarketWire.com - Venture Life has proposed acquiring Periproducts Ltd for a total estimated cash consideration of about GBP5.6m, along with proposed capital hikes totalling GBP3.7m.

Of the latter, it proposed placing of up to 2.4m new shares to raise up to GBP1.7m, of which GBP0.8 million was firmly committed. It also proposed a convertible bond issue to raise up to GBP2.0m, of which GBP1.5m had been underwritten.

"In addition, certain of the Directors have indicated that they may participate in the issue of the Convertible Bonds, if necessary, to ensure that, together with the £1.5 million Convertible Bonds which are to be underwritten (if required), at least GBP1.9m in aggregate of Convertible Bonds will be issued."

To fund the Acquisition and its associated costs, Venture Life requires the net proceeds receivable by the Company from the Placing and the Convertible Bond Issue in addition to its existing cash resources.

The Placing and the Convertible Bond Issue are subject to Shareholder approval. The Acquisition is, in turn, conditional on completion of the Placing and the Convertible Bond Issue.





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