Troubled telematics provider, Minorplanet has had trading in its shares suspended.
The board of Minorplanet requested the suspension of trading in its shares on Tuesday (June 8) following questions over a loan supplied to the company.
Minorplanet and a new company it created - MPS 2010 Limited - both received demand notices from one-time rival telematics provider, DigiCore.
DigiCore provided a £3m loan to Minorplanet and the new company in May, which essential secured the company's future.
However, DigiCore has now issed a demand notice for repayment of the loan.
The demand notices cited an event of default under the related loan agreement arising from a winding up petition being issued by RBS Invoice Finance Limited, on behalf of Assembly Contracts Limited, against the company for a debt of £300,000.
The demand notices were followed immediately by an enforcement notice issued to the company which, inter alia, involves the exercise of DigiCore's security rights and results in the entire issued share capital of MPS 2010 being owned by DigiCore.
The board is seeking to address the winding up petition, which is due to be heard on 30 June, and is considering the implications of the enforcement notice on the financial position of the company.
The Minorplanet board said it is continuing to work with DigiCore in order to "seek to deliver the wider commercial benefits envisaged from the transaction announced on 14 May 2010".
Login to comment
Comments
No comments have been made yet.