MIDI plc – Solutions & Infrastructure Services Limited

MIDI plc issued the following Company Announcement pursuant to the Malta Financial Services Authority Listing Rules.

Solutions & Infrastructure Services Limited 

Following the Preliminary Agreement and by means of an instrument of transfer on September 14, 2015, MIDI plc has acquired Siemens' 50 per cent shareholding – consisting of two million ordinary 'A' shares of €1, contemplated the waiver by Siemens of €350k which was due to it by SIS through a shareholder's loan and an informal capital contribution made by Siemens to SIS of €1.742m as part of a restructuring exercise.

The development currently underway at Tigne Point necessitated an additional investment of around €2m in the HVAC system in order to cater for an anticipated increase in demand and to contribute to more efficient operation. The works were awarded to Siemens with whom an agreement was reached for a credit of €1m to be provided in connection with the aforementioned additional investment.

SIS is currently projecting a loss of around €600k for its financial year ending September 30, 2015 and its gross assets amount to €5.6m. The company believes that the restructuring undertaken and the agreements with Siemens, together with current business prospects, will turn around the financial results for SIS.

SIS is now a wholly owned subsidiary of the MIDI group and the Company shall act as a surety for the repayment of SIS' banking facilities.  The Company's Board of Directors is satisfied with the terms agreed to with Siemens and is of the opinion that such an acquisition will contribute towards shareholder value in the upcoming years.

To view the official Company Announcement, click here.