Proton Motor Power converts loan interest to shares

Fuel cell and electric hybrid system developer Proton Motor Power said on Thursday that Falih Nahab has requested the conversion of part of the interest matured on loans provided by him into 42 million ordinary shares.

The AIM-traded firm said the conversion price was 2p per share, and the interest converted thus had a value of £0.84m.

It said an application had been made for the admission to AIM of the 42 million shares resulting from the loan conversion, which was expected to take effect on or around 1 February.

“Mr Falih Nahab has indicated that he intends to use any proceeds from a sale of these ordinary shares to provide further financing to the company,” the board said in its statement, adding that further announcements would be made as appropriate.

As a result of this loan conversion, it said Nahab's interest in the share capital of Proton would consist of 170,324,008 shares held indirectly via his 28% interest in SFN Cleantech Investment, and 61,533,853 shares held directly by him, representing 22.01% and 7.95% of the company's issued share capital, respectively.

At 1204 GMT, shares in Proton Motor Power Systems were down 9.2% at 113.5p.