1-Page sells US business

13/09/2017 - 14:44

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Listed company 1-Page is looking for new ways to spend its $26 million cash balance after selling its US technology business, which lost about $45 million over three years.

1-Page sells US business
1-Page holds a cash balance of $26.3 million.

Listed company 1-Page is looking for new ways to spend its $26 million cash balance after selling its US technology business, which lost about $45 million over three years.

1-Page announced today it had sold recruitment-focused software business One-Page Company Inc for $US1, with the unnamed buyer also taking over all liabilities.

The directors said the sale of the business and associated liabilities for a nominal sum was in the best interests of shareholders.

The sale is subject to shareholder approval.

The company will now seek investment opportunities with its remaining cash balance, which totalled $26.3 million at July 31.

Director Andrew Chapman said the company was targeting several opportunities in the IT sector, and he was keen to complete a transaction so its shares could be relisted on the ASX.

The sale follows a long-running battle between local directors and the US-based founders of the One-Page business, led by former chief executive Joanna Riley.

Ms Riley recently sold her entire shareholding in the listed company for $2.6 million.

The buy-out was priced at cash backing and was led by Mr Chapman’s Merchant Group, which has emerged with a 13.5 per cent shareholding.

The company has budgeted to spend $650,000 in the current quarter as it completes the US sale and other restructuring measures.

Mr Chapman said expenses would be kept to a minimum, with interest on the company’s cash balance expected to cover future costs.

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