NMCN to Miss Results Deadline Amid Refinancing Efforts

NMCN has confirmed that it will miss a November deadline to release its results, which are needed to refinance the company.

On September 24, the entrepreneur set a schedule for finalizing the company’s refinancing after suffering heavy losses. This involved the publication of a prospectus on November 1, which would first require that its results for the year to December 31, 2020 be audited and approved.

The contractor, who is three months behind in the publication of its results for the year to December 31, 2020, issued a press release on Friday afternoon indicating that it would not be able to meet this deadline.

“The company has had intensive discussions to complete the preparation of the group’s annual report for the fiscal year ended December 31, 2020,” he said.

“As a result of these discussions, it has become clear that the group will not be able to approve the audited financial statements within the extension period provided for in the company’s announcement on September 24, 2021.”

He aimed to release the prospectus by November 1 in order to vote on the refinancing, which he hoped to have completed by November 19.

As part of this deadline, its lender Lloyds Bank had agreed to extend an existing overdraft of £ 11.8 million until November 5, 2021 to allow publication of the prospectus.

The company said on Friday it would make further announcements on its financial situation “if applicable”.

In June, he announced a £ 24million refinancing deal with investors, which would see turnaround specialist Svella take a major stake in the company. Svella has provided a £ 10million bridging loan and said he will buy £ 7.4million of the initial £ 14million in new shares that NMCN plans to issue. The remaining £ 6.6million was to be placed with other large investors, according to the announcement.

In August, the company said its losses for 2020 are expected to be around £ 43million. The company has experienced contract problems in its water and building activities.

NMCN shares were suspended from trading in June after passing the June 30 deadline to publish its results for 2020.

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