Autoclenz to become cash shell

Autoclenz has agreed to sell its operating companies for four million pounds to a company controlled by its existing Chief Executive and Financial Director and external investors.

The existing company will become a cash shell with £3m in cash and £1m loan note, that will be repaid with interest within three years. The total consideration equates to approximately 38.5p a share.

In effect Autoclenz will then become an investing company. James Leek, Non-Executive Chairman, Autoclenz, commented: "Together with our advisors we shall now seek to acquire within this well-funded, clean Aim-listed shell company a high growth business with a view to further increasing shareholder value."

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A total of 46.85% of shareholders have already agreed to the deal and so, given, that only a simply majority is required to pass the proposal, it looks like a done deal.

CM