Amphion Innovations plc
Fundraising

London and New York, 13 December 2012 - Amphion Innovations plc (LSE: AMP) ("Amphion" or the "Company"), the developer of medical and technology businesses, today announces that, to satisfy institutional demand, it has utilized its existing authorities to raise £318,600 (before expenses) by the issue of 10,620,000 new ordinary shares of 1p each in the capital of the Company (the "New Ordinary Shares") at an issue price of 3 pence per New Ordinary Share.  The net proceeds of this placing will enable the Company to invest in current Partner Companies, support DataTern’s patent litigation programmes, and provide working capital for the Company.  The New Ordinary Shares will represent approximately 7.3 per cent of the existing Amphion share capital.

Application will be made to the London Stock Exchange for the New Ordinary Shares to be admitted to trading on AIM.  The New Ordinary Shares will, when issued, rank equally in all respects with the existing Ordinary Shares, including the right to receive any dividend or other distribution declared, made or paid following Admission. It is expected that Admission will become effective and that dealings in the New Ordinary Shares will commence 17 December 2012.

Following admission of the 10,620,000 New Ordinary Shares, the Company will have 146,220,250 ordinary shares in issue with each ordinary share holding one voting right.
In addition, to further strengthen the balance sheet and provide additional working capital, the Company has also entered into an unsecured loan financing of $208,600 (“Loan Note”) from Mr. R. James Macaleer, Chairman of the Company.  Mr. Macaleer is interested in 16.4 per cent of the issued share capital of the Company.  The Loan Note is repayable on 12 March 2013 and carries interest at 7 per cent per annum.  The Loan Note will be paid in full if the Company receives $1 million or more in financing prior to the maturity date.

The unsecured loan agreement is deemed a related party transaction for the purposes of the AIM Rules. As a result, the Independent Directors consider, having consulted with the Company’s nominated adviser, that the terms of the unsecured loan are fair and reasonable insofar as its shareholders are concerned.

Accordingly, Richard Morgan is now beneficially interested in 24,692,499 ordinary shares, representing 18.29 per cent of its issued ordinary share capital.

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For further information please contact

Amphion Innovations plc
Charlie Morgan
+1 212 210 6224

Cardew Group
Tim Robertson
+44 020 7930 0777

Seymour Pierce Limited
Mark Percy (Corporate Finance)
David Banks (Corporate Broking)
+44 020 7107 8000

 

About Amphion Innovations plc
Amphion (LSE: AMP) builds shareholder value in emerging companies in the medical and technology sectors, by using a focused, hands-on company building approach, based on decades of experience in both the US and UK. Amphion has significant shareholding in 7 Partner Companies developing proven technologies targeting substantial commercial marketplaces. The Amphion model has been refined to optimise the commercialisation of patents and other intellectual property within the Partner Companies. The Partner Companies collectively own or control over 200 separately identified pieces of intellectual property, a number which grows rapidly each year.

On the web: www.amphionplc.com