International clean technology company, Verditek (AIM:VDTK) has said it has received a notice of conversation from Non-Executive Director, Gavin Mayhew.
Mr Mayhew move is in respect of his convertible loan note holding of £1 million together with accrued interest up to the point of exercise, the company explained.
The exercise price for the capital amount and accrued interest of the CLN will be 8p in accordance with adjusted terms of the CLN.
Geoff Nesbitt, Chief Executive of Verditek said Mr Mayhew’s decision to convert at 8p “reflects the growth” the company is working to deliver and would “greatly improve” near term and future cash flow.
The exercise will give rise to the issue of 13,712,937 new ordinary shares in Verditek, representing 6% of the enlarged issued ordinary share capital in the company.
Shares in Verditek were trading 25% higher at 4.250p on Monday morning.
"Verditek's continued focus on production and commercialisation of the Graphene Integrated PV cell, through the second Joint Development Programme with Paragraf, is very exciting given its potential applications in consumer electronics, satellite and other markets,” said Mayhew.
Additionally, an application has been made for the new ordinary shares to be admitted to trading on AIM and is expected to take place on 5 December 2019.
Mayhew’s shareholding will now stand at 21,157,381 ordinary shares representing 9% of the issued ordinary share capital -- there now remains a balance of issued CLN`s of £170,000.
Mayhew confirmed his confidence that Verditek was at “an inflexion point” in its lifecycle, making his conversion of the loan note at 8p “a very simple decision.”
Following admission, Verditek will have 229,163,534 ordinary shares in issue and will be admitted to trading on AIM.
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