TIDMTNT
RNS Number : 1844M
Tintra PLC
20 May 2022
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES
OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT)
REGULATIONS 2019/310.
20 May 2022
TINTRA PLC
("Tintra", the "Group" or the "Company")
Business Update
The board of directors (the "Board") of Tintra , the fast-growth
FinTech & RegTech business, announces an update to its business
activities as it continues to progress the strategy that was first
outlined to shareholders at last year's annual general meeting.
Update on proposed sale of Lottery Business
The proposed sale of certain assets (the "Lottery Administration
Business") of Prize Provision Services Limited ("PPS") to Sterling
Management Centre Ltd ("Sterling"), which was first announced on 21
October 2021, has taken far longer to complete than either party
expected. Both Sterling and Tintra are working closely together, on
an almost daily basis, and it is fully expected the transaction
will close broadly as originally anticipated.
Despite this close collaboration, the transaction remains some
eight to twelve weeks from completing all of its regulatory
hurdles. Consequently, the Company and its advisors have created an
interim solution that allows the Company to achieve its dual goal
of completing the transaction with Sterling and freeing up the
Company to complete its funding round as outlined in earlier
announcements.
A special purpose vehicle, PPS Asset Realisation Co Limited, has
been incorporated as a company limited by guarantee (the "SPV"),
which yesterday purchased Prize Provision Services Limited for GBP1
(the "Transaction"). The director of the SPV and a majority of the
members of the SPV are independent third parties, with the Company
holding a minority (one-third) of the voting rights. As the SPV is
a company limited by guarantee, the members, including the Group
company, hold no shares.
This structure allows for the continued operation of PPS so that
it can continue its good work in communities across the country
whilst the SPV, under the guidance of these third parties, will
continue to progress the sale of the Lottery Administration
Business to Sterling.
The nature of the structure is such that once the Transaction
with Sterling completes, the eventual proceeds of the sale will be
received by the Company after settling the liabilities of PPS. The
Board expects the proceeds received from the Transaction, will be
equal to, or materially the same as, that outlined in the
announcement of 21 October 2021.
As a result of the Transaction, PPS will no longer be
consolidated in the Group accounts and an estimated net benefit of
around GBP140k is expected to be reflected in the current year's
Group accounts. The sale of PPS completes the disposal of the
non-core activities of the Group and leaves Tintra as a focused
FinTech & RegTech business.
FinTech & RegTech Business
With the change in strategy for its UK business that was
announced on 29 March 2022, the Group's UK FinTech activities will
in future be undertaken by the subsidiary established for the Small
Bank Licence and Electronic Money Institution ("EMI") authorisation
applications set out in that announcement.
The activities of the Company's legacy subsidiary in the sector,
St Daniel House Limited, will be moved into either this new
subsidiary, the Group's Mauritian unit, or wound down as part of
this process as is appropriate.
The Company continues to make faster than projected progress
with its technology stack and in its discussions with regulators
around the world.
As part of this the Company, further to its announcement (19
April 2022) of a Mauritius payment licence, has recently
incorporated a new subsidiary in Singapore as the latest
development in its growth strategy. This subsidiary, named Tintra
Consult (Singapore) PTE, is in the process of hiring a small team
that will begin the process of understanding the regulatory
landscape prior to the Company making its fourth bank licence
application there during 2023.
Funding
The development of the Company's FinTech & RegTech business
as described above is moving along across all verticals and the
various teams continue to scale at pace. Following the change in
strategy from acquisition of a UK EMI to the new application, as
announced previously and explained above, the Company may require
less capital in H122 than projected, as this change in strategy has
an immediate cash saving of circa GBP3,000,000-GBP4,000,000.
The Middle Eastern investor (announced 10 January 2022) has
reconfirmed in the past week their interest in continuing with an
investment into the Company. However, the Board is currently
evaluating whether to pursue further subscriptions under its
current Funding Round on terms, as originally set out in its
announcement of 10 January 2022, or to amend this strategy. A
decision on this is expected to be made toward the end of June and
a further update on this will be made when that decision is
made.
The Company's website, www.tintra.com , is being relaunched over
this weekend to reflect these significant developments in the
Company's evolution and should have completely finished propagation
by Monday 23 May 2022.
Richard Shearer, the Company's Chief Executive said "The
disposal of PPS marks a giant step in our evolution into the
world's pre-eminent provider of banking infrastructure to the
emerging world.
We are now solely focused on our core business with all legacy
business divested. This watershed moment now allows us access to
capital that we were unable to access due to cultural sensitivity
and means we can focus on our passion: building technology that
others can't, to do things in territories that others won't.
I'd like to thank the team at Sterling for their immense
assistance and patience in the sale of PPS and I very much look
forward to hearing that the Transaction has completed and that the
good people at Sterling can continue to manage the lotteries for
those hundreds of charities around the country following its
acquisition of PPS business.
As I've discussed previously, the current 90-Day Project, which
completes on June 15(th) , is moving the business along at a rate
of knots that is quite something to behold. Two of the teams
believe they are already closing in on patentable processes and
technology, whilst others that are building the deep banking core
are starting to illustrate practically the things we have been
saying theoretically for some time now.
We plan to publish parts of the results of the 90-Day Project in
a document that will act as our North Star, and I look forward to
sharing it. This next step will be another watershed moment as it
will for the first time allow the market to see in detail the
vision and the plan we are executing on.
I say this as I'm very aware that until this point, we have been
moving exceptionally fast and at times making a lot of
announcements that might not in a silo appear to naturally tie
together.
The publishing of this document will tie all of those strings
together for our shareholders and the broader marketplace and
articulate our full and complete vision as we continue to strive to
make real fiscal inclusion in emerging markets a reality as we
build banking infrastructure that is truly beyond borders, culture
and geography ."
For further information, contact:
Tintra PLC
(Communications Head)
Hannah Haffield
h.haffield@tintra.com
Website www.tintra.com 020 3795 0421
Allenby Capital Limited
(Nomad, Financial Adviser & Broker)
John Depasquale / Nick Harriss / Vivek
Bhardwaj 020 3328 5656
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDKKLFFLELEBBD
(END) Dow Jones Newswires
May 20, 2022 02:01 ET (06:01 GMT)
Tintra (LSE:TNT)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
Tintra (LSE:TNT)
Historical Stock Chart
Von Jul 2023 bis Jul 2024