REG-London Finance & Investment Group Plc: Related Party Transaction

London Finance & InvestmentAnnouncement

29/12/2023 07:15

Date:                                   29
December 2023



London Finance & Investment Group PLC

(“the Company”)


Related Party Transaction

London Finance & Investment Group PLC (LSE: LFI, JSE: LNF) refers to the
announcement on 28(th) December 2023 from Western Selection PLC ("WSL") with
regards to its proposed capital reduction.

The Company is pleased to support WSL's proposed capital reduction and return
of 80.5p per cancelled share through the following means:
*   The Company has committed to retain at least 25,029 Ordinary Shares and,
depending on the number of Ordinary Shares that other WSL Shareholders wish to
retain, intends to retain the minimum number of additional Ordinary Shares so
that the number of Ordinary Shares remaining in issue in WSL is at least
57,143 and the Company's percentage holding does not fall below 43.8 per cent.
*    The Company shall provide a Loan Facility to WSL for a value of up to
£200,000 to fund its working capital.
*    The Company has provided irrevocable undertakings, relating to its
43.8% holding in WSL, to vote in favour of all resolutions it is entitled to
vote on at the WSL general meetings to be held on the 25 January 2024 and 31
January 2024.
On completion of the proposed capital reduction the Company will receive
approximately £6,307,566 if it retains 25,029 Ordinary Shares only.  The
Company intends to reinvest these funds in its portfolio of international
blue-chip securities.

The Loan Facility is considered to be a related party transaction. The terms
of the Loan Facility are as follows:
*    The amount that will be available to borrow by WSL under the Loan
Facility will be £200,000, of which £150,000 may be drawn down immediately
following the approval of the Capital Reduction.
*    The balance of £50,000 will be available for draw down by WSL at any
time prior to 31 December 2027 (the "Expiry Date").
The Loan Facility, which will be unsecured, will bear interest at a fixed rate
of 3 per cent. per annum above the Bank of England base rate payable quarterly
and will be repayable in full by the Expiry Date.  Interest shall accrue
daily, and WSL shall pay the accrued interest, on the amount of loan taken, on
the interest period dates.

The Directors consider that, having exercised reasonable care, skill and
diligence, the Loan Facility is fair and reasonable as far as its Shareholders
are concerned.

The directors of the Company accept responsibility for the contents of this
announcement.
CONTACT:
Enquiries to:


London Finance & Investment Group PLC:              020 3709 8741

(David Marshall/Edward Beale)

JSE Sponsor to the Company:

Questco Corporate Advisory Proprietary Limited





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