RNS Number : 4263Z
Ortac Resources Limited
15 March 2017

15 March 2017

Ortac Resources Ltd

("Ortac" or the "Company")


Capital Reorganisation of Ordinary Share Capital


The directors of Ortac Resources Ltd (the "Board"), announces the capital reorganisation of the existing ordinary share capital of the Company, which comprises a consolidation of the Company's ordinary shares in issue (the "Consolidation") to a level in line with other comparable AIM quoted companies.


Background to and reasons for the Capital Reorganisation


The Company's current issued capital consists of 8,213,507,859 ordinary shares of no par value ('Existing Ordinary Shares'). The Board considers that the current issued share capital is considerably larger than that of  similar sized companies on AIM and other Recognised Investment Exchanges and that this, combined with the current share price of around 0.03 pence per share (14 March 2017), affects investor perception of the Company.


Following consultation with a number of the Company's stakeholders, the Consolidation is being proposed in order to reduce the number of Existing Ordinary Shares that are in issue to a level more in line with comparable AIM quoted companies. The Directors expect that the Consolidation will improve the marketability of the Company's Existing Ordinary Shares to a wider range of investors, including institutional investors.


Consolidation of Share Capital


The Directors have resolved to re-organise the Company's share capital by consolidating all of the Existing Ordinary Shares on the basis of one (1) new ordinary share of no par value ('New Ordinary Share') for every hundred (100) Existing Ordinary Shares, such shares having the same rights and being subject to the same restrictions as the Existing Ordinary Shares as set out in the Articles of the Company. The Articles of the Company do not permit the issuance of fractional shares and accordingly no fractional shares arising from the consolidation will be issued.



New Share Capital


Post consolidation, the issued share capital of the Company is expected to be 82,134,988 New Ordinary Shares. The last day for dealing in the Existing Ordinary Shares on AIM is expected to be 23 March 2017.


Shareholders who hold Depositary Interests will have such interests disabled in their CREST accounts on the Consolidation Record Date, and their CREST accounts will be credited with Depositary Interests representing the New Ordinary Shares to which they are entitled following Admission, which is expected to take place on 24 March 2017.


Following the Consolidation, any existing share certificates will cease to be valid and new share certificates are expected to be dispatched to those Shareholders who hold their Existing Ordinary Shares in certificated form, on or before 7 April 2017.


Expected Timetable


Announcement of Consolidation

15 March 2017

Last day of dealings in the Existing Ordinary Shares

23 March 2017

Record time and date for the Consolidation

6.00 p.m. (BST) on 23 March 2017

Admission effective and dealings in New Ordinary Shares expected to commence on AIM


8.00 a.m. (BST) on 24 March 2017

Crediting of CREST accounts with Depositary Interests representing New Ordinary Shares


8.00 a.m. (BST) on 24 March 2017

Dispatch of definitive share certificates in respect of New Ordinary Shares in certificated form


By 7 April 2017


Share Capital Statistics


Number of Existing Ordinary Shares at the date of this Announcement


Number of New Ordinary Shares in issue immediately following the Consolidation


ISIN for the New Ordinary Shares


SEDOL for the New Ordinary Shares




For further information, please contact:


Ortac Resources Ltd

Vassilios Carellas (CEO)

 +44 (0) 20 3874 8664

SP Angel (Nominated Adviser & Broker)
Ewan Leggat/Lindsay Mair

 +44 (0) 20 3470 0470

Joint Brokers


Beaufort Securities

Jon Belliss / Elliot Hance


+44 (0)20 7382 8300

Peterhouse Corporate Finance Limited

Guy Miller

Lucy Williams

+44 (0) 20 7469 0930




For additional information please visit - www.ortacresources.com

This information is provided by RNS
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