Shares in Aferian, the company behind 24i and Amino, have been suspended from trading on AIM as the video streaming technology group prepares for a potential administration process and the sale of its operating businesses.
The company said negotiations are well advanced on a proposal to sell its operating subsidiaries 24i and Amino as going concerns to a single buyer. The proposed transaction follows a review of strategic alternatives aimed at safeguarding the group’s trading operations.
Amino CEO, Mark Carlisle, told Broadband TV News: “This morning’s update is a welcome development for Amino and, above all, for the customers who rely on us every day. We’ve built our reputation on dependable technology and long-standing expertise across digital signage, ProAV and pay-TV; and that doesn’t change. We will continue to innovate and deepen the support we provide, while delivering the quality and continuity our customers expect.”
Aferian said its senior lenders support the proposed sale, which is expected to be completed within days.
The company said the transaction would preserve the trading operations of the subsidiaries, maintain services for customers and protect jobs, while providing some return to senior lenders.
However, Aferian warned the expected sale proceeds will be significantly below the $16.5 million (€15.1 million) outstanding on the group’s secured banking facilities. As a result, shareholders are not expected to receive any return from the deal.
The sale is expected to be carried out through a pre-pack administration process once administrators are formally appointed.
The board said it is currently working with advisers and key stakeholders regarding the potential appointment of administrators.
