News Details

Issue of Equity

Further to SimiGon's announcement of 1 May, 2009 of the implementation of a salary reduction scheme in order to decrease its expenses and in accordance with the said scheme, the Non-Executive Board members have also decided to implement a one year salary reduction of 15 per cent and instead will be issued with an equivalent value of ordinary shares 0.01 NIS par value of the Company ("Ordinary Shares"), which will be issued to the Company's trustee and will vest in 12 equal monthly instalments.

Pursuant to this initiative, the Company intends to issue a trustee, on behalf of Messrs. Alistair Rae, Nevat Simon, Vered Shany and Eitan Cohen, Non-Executive Directors of the Company, 47,727, 24,000, 24,000 and 24,000 Ordinary Shares, respectively, in return for the one year salary reduction. Following this transaction, Alistair Rae, Nevat Simon, Vered Shany and Eitan Cohen shall have a beneficial interest of 0.115%, 0.058%, 0.058% and 0.058%, respectively, of the total issued share capital of the Company; this will represent in aggregate 119,727 Ordinary Shares and 0.288% respectively.

Accordingly, application will be made in due course for a total of 119,727 Ordinary Shares to be admitted to trading on the AIM market of the London Stock Exchange. The new Ordinary Shares will rank pari passu with the Company's existing Ordinary Shares and the Company will confirm in due course when admission is expected to become effective.

Should the holders of at least 1% of the Company's total issued share capital object in writing to shares being issued to the Directors in return for the salary deduction within the next fourteen calendar days, the Company will introduce the matter for shareholder approval at the AGM.