16 December 2013
TMT INVESTMENTS PLC
("TMT" or the "Company")
Cash-for-shares swap by senior management
TMT announces that three of its senior executives have signed agreements with the Company to receive all of their 2014 salaries in TMT shares on 31 December 2014 rather than monthly in cash. The number of shares receivable in each case is fixed at a price of US$1.7 per share, which compares with the latest middle market quotation for TMT shares of US$1.6 per share. The agreements are binding on the executives concerned regardless of TMT's future share price.
The executives concerned, who all receive salaries of US$100,000 per annum and will thus receive 58,823 TMT shares each, representing 0.24% of TMT's existing share capital, are:
· Mr. Alexander Morgulchik and Mr. German Kaplun, who at present collectively own 18.57% of the issued share capital of TMT; and
· Mr. Artyom Inyutin, who at present owns 19.65% of the issued share capital of TMT.
Each of the executive listed above are therefore Related Parties for the purposes of the AIM Rules.
In accordance with the AIM Rules, the directors of the Company, all of whom are independent for the purposes of this transaction, having consulted with the Company's nominated adviser, ZAI Corporate Finance Limited, consider that the terms of the transaction are fair and reasonable insofar as the Company's shareholders are concerned.
Alexander Selegenev, Executive Director, commented "We welcome this agreement by senior executives to receive TMT shares rather than cash. It indicates confidence by senior management in the Company's strategy and frees up resources for future investment activities."
The current salary-for-shares arrangement is in addition to a similar agreement announced in December 2012, whereby the executives concerned agreed to receive all of their 2013 salaries in TMT shares on 31 December 2013. The number of shares receivable on 31 December 2013 was fixed at a price of US$1.6 per share.
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About TMT Investments
TMT Investments PLC invests in high-growth, internet-based companies across a variety of sectors and has a significant number of Silicon Valley investments in its portfolio. Founded in 2010, TMT has raised USD28m and invested in 26 companies to date. The company's objective is to generate an attractive rate of return for shareholders, predominantly through capital appreciation. The company is traded on the AIM market of the London Stock Exchange. www.tmtinvestments.com
