MILLWALL HOLDINGS PLC
GENERAL MEETING HELD ON 12 DECEMBER 2014
EXTRACT OF STATEMENT MADE BY DIRECTORS
The General Meeting has been called again this year, as required by the
Companies Act 2006, as the net assets of the Company continue to be less than
50% of the share capital. Once again the position has worsened in 2014 as a
result of the loss incurred in the year ended 30 June 2014. The meeting is
called to discuss what steps, if any, should be taken to deal with the
Chestnut Hill Ventures continues to fund the Company on a day to day basis, so
that it can continue to trade, with facilities in place until at least 1 July
2016. Your directors continue to take steps aimed at improving the performance
of the Company.
At the Annual General Meeting last year shareholders approved the creation of
25,000,000 new B Shares and gave directors authority to issue up to 20,000,000
of the new B shares over the next 5 years. Last month, on 7 November, Chestnut
Hill Ventures subscribed for and was issued with 6 million of these B shares.
This improved the balance sheet by the £6 million invested, reducing the net
liabilities of the Company. This investment was additional to the facilities
currently in place with Chestnut Hill Ventures.
The primary purpose of having the ability to issue B Shares is to allow the
Company to meet the current requirements of the Financial Fair Play Regulations
of the Football League. Thus, the issue of the B Shares raising £6 million more
than met the equity investment requirements of the Financial Fair Play
Regulations in respect of the year ended 30 June 2014, Your directors will
continue to monitor both the balance sheet position and the Financial Fair Play
requirements during 2015 and take steps to ensure the continued viability of the
Your directors do not consider any other action is required at this stage and no
resolution is to be put before this general meeting.