Versarien plc (LON:VRS), the advanced materials engineering group, announces that a Notice of General Meeting will be posted to shareholders today. The General Meeting will be held on Tuesday 4 July 2023 at 10.00 a.m. at the offices of Fieldfisher LLP, Riverbank House, 2 Swan Lane, London EC4R 3TT. The purpose of the General Meeting is to renew the Company’s share capital authorities.
The formal notice of the General Meeting including full details of all resolutions to be proposed is available to view on Versarien’s website at www.versarien.com
The Company values shareholder participation and values the votes of shareholders, so it encourages all shareholders to exercise their voting rights by completing and submitting a proxy form as soon as possible. It would also be helpful if shareholders could submit any questions in advance via IFC Advisory Limited (financial PR and investor relations) at versarien@investor-focus.co.uk.
Background
As detailed in the interim report released on 9 June 2023, as part of the turnaround strategy, the Company is marketing for sale both its mature businesses and the IP and assets acquired from Hanwha Aerospace in December 2020. If the estimated proceeds are received it will provide a sufficient cash runway for the Company’s anticipated needs over the next 24 months. However, the timing of the asset sales and the quantum of the funds that may be received is uncertain, so the Board considers it prudent to ask shareholders for new authorities at the General Meeting in order to provide the Company with the ability and flexibility to raise further funds through the issue of additional equity capital should it be required.
Recommendation
The Board considers that the renewal of the share authorities and the Resolutions are in the best interests of the Company and its Shareholders as a whole and accordingly recommends that Shareholders vote in favour of the Resolutions.
If the Resolutions are approved at the General Meeting, there is no certainty that the Company will be able to raise funding at a suitable valuation or at all.
If the Resolutions are not approved at the General Meeting and Versarien does not receive sufficient proceeds from asset sales in a timely manner and no alternative funding can be raised, the Company’s ability to operate as a going concern will be put at risk.
