Zinc Media Group (LSE:ZIN) will pay a final £1.43m earn‑out to the sellers of The Edge Picture Co, funding £0.34m in cash (payable on or before 15 May) and issuing 2,642,312 new ordinary shares priced at 41.5p each (30‑day average to 16 April). The earn‑out shares carry a 12‑month lock‑in; the board has agreed a partial release to allow certain institutional investors to buy in the market and preserve their stakes.
Separately, Herald Investment Trust will convert approximately £551,000 of Zinc’s long‑term debt into 1,311,060 new ordinary shares at 42.0p (closing price 16 April), preserving its 33.2% shareholding. After the conversion, Zinc says total indebtedness will be approximately £2.9m. The Herald transaction is a related‑party matter; the directors, after consulting Singer Capital Markets, regard the terms as fair and reasonable.
"The Edge has continued to perform strongly, resulting in the achievement of the final earn‑out targets set out in the earn‑out terms." Zinc added.
Historically, Zinc and Herald have extended the facilities several times, most recently moving the maturity to 31 December 2027 and amending interest terms in 2022.
