Origo

Management Reports • Jun 20, 2014

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RNS Number : 1721K

Origo Partners PLC

20 June 2014

20 June 2014

Origo Partners PLC

Strategic Update

Origo Partners Plc ("Origo" or the "Company") notes the announcement made by Brooks MacDonald Asset Management (International) Limited ("Brooks MacDonald") today (the "BM Announcement").  The Company has in fact been engaged in a detailed consultation with certain of its shareholders, alongside its advisers Smith & Williamson, and Brooks MacDonald and its advisers, Cantor Fitzgerald, regarding the proposals outlined in the BM Announcement for some time.

That consultation has indicated that the Company's key shareholders are supportive of certain measures aimed at facilitating the realisation of assets and the distribution of capital to shareholders.   Indeed, those measures broadly follow on from the Strategic Review announced by the Company in August 2013. 

Origo's management has, since the time of the announcement of the Strategic Review on 14 August 2013, been focussed on the implementation of the following measures:

·     Significantly reducing operating costs, including through: a reduction of property costs; an approximately fifty percent cut in staff headcount; and a general decrease in travel and operating expenses;

·     Making no new investments. The Company has concentrated on managing positions in existing portfolio companies and will consider follow on financings only where these will protect or enhance value; and

·     Creating asset realisations at the right time and right value for shareholders.

The Company is currently in the process of finalising a set of detailed proposals which are expected to include: changes in the Company's management structure; investment strategy; asset realisation programme; and management incentive plan associated with asset realisation. It is the Company's intention to obtain the approval of shareholders with respect to such proposals when its internal processes, currently underway, have been completed.

The Company intends to continue working to reach an amicable resolution to the dispute with Brooks MacDonald over the terms of the convertible zero dividend preference shares, the subject of which was outlined in the Company's announcement dated 7 February 2014. 

Further announcements with respect to the above matters will be made, as appropriate.

For further information about Origo please visit www.origoplc.com or contact:

Origo Partners plc Chris Rynning Niklas Ponnert	chris@origoplc.com niklas@origoplc.com
Nominated Adviser Smith & Williamson Corporate Finance Limited Azhic Basirov/ Ben Jeynes	+44 (0)20 7131 4000
Broker Investec Bank Plc Jeremy Ellis	+44 (0)20 7597 4000
Public Relations Aura Financial Andy Mills	+44 (0)20 7321 0000

Notes to editors:

Origo Partners:

Origo is a private equity investment company, focused exclusively on growth opportunities created by the urbanization and industrialization of China. Origo is listed on the London Stock Exchange (LSE: OPP).

Origo's investment strategy is focused on the natural resources and renewable energy/clean-tech sectors.

This information is provided by RNS

The company news service from the London Stock Exchange

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