21 July 2022
LIMITLESS EARTH
PLC
("Limitless" or
the "Company")
Saxa Bond
Restructuring and Partial Sale
Limitless Earth plc, an AIM quoted investing company, provides
an update on its investment holdings in Saxa Gres S.p.A. ("Saxa
Gres"), a private Italian company focused on recycling industrial
waste into the production of stoneware tiles and paving stones.
The Company has been advised that, as a result of the
significant increase in European gas prices which is a principal
component of Saxa Gres’ production costs, on 23 June 2022, Saxa Gres proposed amendments to
bondholders to restructure the coupon payments and maturity of its
Saxa Bonds 7% 2016 (“Bonds”). The proposed amendments were based on
a revised business plan prepared by Deloitte for the period 2022 to
2027 and which were passed with the support of the majority of the
bondholders. Under the revised terms, Saxa Gres has extended the
maturity of the Bonds from 2026 to 2027 and agreed that it will pay
coupons conditional on certain revenue targets being met and linked
to the sale of non-core assets.
To date, Limitless has made three investments in Saxa Gres and
holds listed EUR 592,000 bond notes
maturity 2026 and a EUR 75,000 of 10
per cent. loan with an option to acquire approximately 2.38 per
cent. of the equity share capital of Saxa Gres at an exercise price
of 1 EUR per share.
As a result of this restructuring, the Company has decided to
reduce its holding in the Bonds and has sold 275 Bonds for a total
consideration of EUR 165,000.
Following the sale, the Company continues to hold Bonds with a face
value of EUR 317,000. The
proceeds of the sale will be used for general working capital
purposes.
This announcement contains inside information for the purposes
of UK Market Abuse Regulation. The Directors of the Company take
responsibility for this announcement.
Limitless Earth plc
Guido Contesso |
+44 7780
700 091
www.limitlessearthplc.com |
Cairn
Financial Advisers LLP
Nominated Adviser
Jo Turner/Sandy Jamieson/Ludovico Lazzaretti |
+44 20
7213
0880
www.cairnfin.com |
Peterhouse Capital Limited
Broker
Peter Greensmith/Charles
Goodfellow
|
+44 20
7469 0930
www.pcorpfin.com |
About Limitless Earth plc
Limitless Earth plc is a proactive investment company that
focuses on making investments in and assisting companies which
exhibit the potential to generate returns through capital
appreciation. Limitless invests in small companies where
there are clear catalysts for value appreciation and the companies
are operating in sectors exhibiting long-term growth linked to
demographic change. Examples of such sectors include
cleantech, life sciences, nanotech, Medtech, recycling, and new
Internet opportunities.
About Saxa Gres S.p.A
Saxa Gres S.p.A is a circular economy company which specialises
in innovative porcelain gres ceramic stone tile production process
that uses recycled urban waste ashes in the ceramic mix. It has
been successful in expanding its operations by way of acquiring
further factories in order to satisfy the increasing demands for
its products and to attract interest from strategic and financial
investors.
The main product is called Grestone, a patented product that is
composed of up to 30% of waste from urban waste incinerators. Such
ability to recycle waste ashes makes Saxa Gres business highly
rated from a circular economy and ESG criteria point of view.
Furthermore, Grestone meets the criteria for CAM, Minimum
Environmental Criteria in tenders and Green Public
Procurement. Saxa Gres’s product is now sold mainly outside
Italy.
Limitless was amongst the first investors, together with certain
international asset managers, to invest in Saxa Gres and
participate in its turnaround as it implemented a new circular
economy model of waste-to-building-material and, in the
process, saved hundreds of jobs.