- Struggling sports marketing agency TLA Worldwide posted a full-year loss after it sold its US business and moved to sell its Australian business to pay off its debts.

Net losses for the year through December amounted to $28.2m, compared to losses of $7.8m.

'In the first half of the year, despite solid operating performance in parts of the business, the weaker performance in others, including the reduction in the number of events organised and cost pressures in baseball, resulted in lower income and profitability,' chairman Keith Sadler said.

'With a similar outlook in the second half, and a potential breach of banking covenants, a strategic review was conducted by the board and after due consideration a decision was taken that a sale of the US and Australian businesses was necessary in order for the company to pay off its bank debt held at a subsidiary level and comply within the timeframes provided by SunTrust's forbearance agreement.'

'The sale of the US business completed in December 2018 and the group has made solid progress on the sale of the Australian business.'

'Looking ahead, should the sale of the Australian business proceed, then the group will become an 'AIM Rule 15 cash shell'.'

'After the full discharge of the bank debt held at subsidiary level, there is expected to be a modest cash balance in TLA.'

'The group's strategy is to acquire a business that is seeking an AIM quoted platform via a reverse takeover.'

'The directors are considering opportunities in a number of sectors but will focus on an acquisition that can create significant value for shareholders in the form of capital growth and/or dividends.'

At 8:30am: [LON:TLA] TLA Worldwide share price was -0.05p at 0.7p

Story provided by