Announcement of appointment of Administrator, sale of assets and cancellation of listing
25 August 2012
Further to its announcement earlier this afternoon regarding the results of the General Meeting ("GM") related to its restructuring plans http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail.html?announcementId=11308672 , Mouchel Group plc (in administration) ("Mouchel" or the "Company"), the infrastructure and business services group, announces that Richard Heis, Edward Boyle and Jane Moriarty of KPMG LLP were appointed this afternoon as joint administrators to the Company. As announced earlier today, this appointment is part of an alternative plan which was developed to implement the proposed restructuring of the group's balance sheet in the event shareholders did not accept the terms of the restructuring plan proposed in the circular dated 31 July 2012.
As part of that alternative plan and as referred to in the announcement earlier today, the assets of Mouchel have now been transferred, effective immediately, to MRBL Limited, a newly incorporated company. It is expected that following completion of the alternative plan, MRBL Limited will be owned by affiliates of the Company's lenders, RBS, Lloyds Banking Group and Barclays and management. The terms of the sale ensure that all of the group's trading subsidiaries can continue to trade as usual. The joint administrators understand that no other company in the group will enter any form of insolvency process which means that no suppliers, customers or employees are expect to be materially affected.
David Shearer, Chairman of MRBL Limited,
"MRBL Limited expects to announce shortly that it has reached agreement with the group's lenders to restructure the group's debt facilities on such terms which will allow the group to continue its business in the ordinary course to improve the group's balance sheet position by reducing debt levels and is confident that it will agree appropriate amendments to its existing lending arrangements."
The joint administrators, on behalf of the Company, have requested, and the UK Listing Authority has agreed to, a cancellation, effective 08:00 on 28 August 2012, of the Company's shares from admission to the Official List of the UK Listing Authority.
For further information please contact:
Richard Heis, Edward Boyle and Jane Moriarty
Joint administrators – Mouchel Group plc (in administration)
(acting as agent and without personal liability)