{"id":12695,"date":"2012-05-16T16:56:02","date_gmt":"2012-05-16T14:56:02","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=12695"},"modified":"2012-05-17T12:02:16","modified_gmt":"2012-05-17T10:02:16","slug":"africa-cellular-towers-makes-funding-headway","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/trending\/12695\/africa-cellular-towers-makes-funding-headway\/","title":{"rendered":"Africa Cellular Towers makes funding headway"},"content":{"rendered":"

Africa Cellular Towers<\/a>, the struggling JSE<\/a>-listed provider of telecommunication infrastructure, says it has reached an agreement for the restructuring of funding from the Industrial Development Corporation (IDC)<\/a>.<\/p>\n

However, it also noted that a creditor served a liquidation application against the group on 14 May 2012.<\/p>\n

\u201cThe company is seeking legal advice in regard to these proceedings and a further announcement will be made in this regard,\u201d it said in a statement on Wednesday (16 May).<\/p>\n

\u201cShareholders are advised that agreement in principle was reached between the company and the IDC in terms of which the IDC would restructure its funding line of R99 million subject to certain conditions precedent and more specifically that the company secure an equity partner to underwrite a rights issue,\u201d\u00a0 ACT added.<\/p>\n

The company said it has received a letter of intent from a funder to underwrite a rights offer to the extent of R7.5million and the final decision by the IDC Credit Committee regarding the restructuring of its funding is expected by 25 May 2012.<\/p>\n

\u201cIf successfully concluded, the restructuring will provide the company with additional working capital of R51 million,\u201d it said.<\/p>\n

Directors of Africa Cellular Towers are considering the implementation of a rights offer after the finalisation of the restructuring of the IDC funding.<\/p>\n

\u201cAs part of the IDC funding and the rights issue the company will enter into discussions with the secured and concurrent creditors for the purpose of restructuring the Balance Sheet of the company,\u201d it said.<\/p>\n

The group said that the above matters are all inter-dependent and it anticipates that they will be resolved by 28 May 2012.<\/p>\n

In December, ACT said that, despite an extensive turn-around process and debt funding from the Industrial Development Corporation (IDC) to R99 million \u2013 macro-economic factors, and continued depressed trading conditions, negatively impacted on its results for the six months ended August 31, 2011 \u2013 which failed to meet the board\u2019s expectations.<\/p>\n

ACTowers noted that its cellular towers division had been successful over the reporting period in securing some contracts within South Africa as well as Ghana, \u201cbut not to the levels previously reported\u201d.<\/p>\n

Revenue climbed to R109.2 million, while the group recorded a trading loss of R47.6 million.<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Africa Cellular Towers (ATR), the struggling JSE-listed provider of telecommunication infrastructure, says it has reached an agreement for the restructuring of funding from the Industrial Development Corporation (IDC).<\/p>\n","protected":false},"author":9,"featured_media":5043,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[25,99,625,1195,175],"class_list":["post-12695","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trending","tag-active","tag-africa-cellular-towers","tag-idc","tag-industrial-development-corporation","tag-jse"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/12695","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=12695"}],"version-history":[{"count":6,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/12695\/revisions"}],"predecessor-version":[{"id":12699,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/12695\/revisions\/12699"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/5043"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=12695"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=12695"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=12695"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}