Anglo African Ag PLC AAA moves ahead with Kenyan oil and logistics port loan
November 12 2018 - 2:00AM
UK Regulatory
TIDMAAAP
12 November 2018 For Immediate Release
Anglo African Agriculture plc
("AAA" or the "Company")
AAA moves ahead with Kenyan oil and logistics port loan
Further to the announcement made by the Company on 14 September 2018 concerning
the proposed provision of a loan to the privately-owned, Kenyan-based port and
marine logistics group, Comarco Group ("Comarco"), the Board of AAA is pleased
to announce that all the conditions precedent for the loan have been met and
the $1 million loan has been advanced to Comarco.
David Lenigas, Non-Executive Chairman, commented;
"I am delighted that we have completed our due diligence and decided to advance
this loan to Comarco. This transaction and funding will allow them to fully
capture the recent upswing in its port activities and for AAA to develop our
relationship. Since our announcement that we intended entering into this loan,
we have been approached by numerous parties expressing their interest to
cooperate with us in various forms. This is significant, as this clearly
demonstrates that we have managed to find a very valuable and uniquely
positioned asset with potentially very large upside potential. The recent oil
price rise has been highly beneficial for the port, as it is heavily exposed to
oil and gas related services (although not solely reliant thereon). I am also
delighted that the trading at both our fully owned subsidiary, Dynamic
Intertrade (Pty) Ltd as well as our 46.8% owned subsidiary, Dynamic Intertrade
Agri (Pty) Ltd, are continuing on their improved trend. We are now well
positioned to grow the AAA business significantly and deliver the type of
performance our shareholders expect."
The 24-month loan will be used to help fund the growth of Comarco's port and
marine logistics business and repay existing debt. The secured loan is
provided at a 12% rate per annum increasing to 15% after nine months. In
addition to this, AAA has begun to provide assistance with Comarco's
restructuring. The Directors are confident that the loan will open new avenues
for both AAA and Comarco to jointly find and work on investment opportunities.
For further information please contact:
Anglo African Agriculture plc +44 (0) 20 7440 0640
David Lenigas, Non-Executive Chairman
Rob Scott, Executive Director +27 (0) 84 600 6001
VSA Capital Limited (Financial Adviser and +44 (0) 20 3005 5000
Corporate Broker)
Andrew Raca
END
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