(Alliance News) - Valereum PLC said on Monday that it will issue 3.4 million new shares worth GBP161,380 following the conversion notice received under a funding facility announced in January.

Shares in Valereum were down 3.6% on Monday in London at 5.35 pence.

The Gibraltar-headquartered holding company said it was issuing the shares for 4.7112p each. The shares amount to 3.8% of Valereum's total of 89.5 million.

The total price equates to USD200,000 under the terms of the USD10 million facility. The conversion notice brings the facility's outstanding balance down to USD1.2 million.

The facility, from which Valereum drew USD3 million in January, is provided by a US-led institutional investor syndicate. Valereum said the funds would be used to advance its acquisition of the Gibraltar Stock Exchange.

Valereum said it will apply for the shares to be admitted to trading and expects dealings to start on or around Friday.

By Emma Curzon, Alliance News reporter

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