Proposed Capital Reduction

Digitalbox, the mobile-first digital media business, which owns leading websites Entertainment Daily, The Daily Mash, The Poke, The Tab and TV Guide, today announces intention to seek the necessary approvals for a capital reduction.

The Company currently has negative distributable reserves. The directors would like to undertake a capital reduction in order to put the Company in the position of being able to pay dividends or undertake a share buy-back, should the Board consider this to be the most sensible use of any surplus cash on the balance sheet. There is no certainty that the Board will undertake either of these processes.

This restructure, which requires, inter alia, Board, shareholder and court approval, would result in the transfer of the balance on the share premium account into distributable reserves creating a surplus. We expect the process to be completed by 31 December 2024, subject to obtaining appropriate court dates and registration of the share capital reduction at Companies House.

A further announcement will be made along with a Notice of General Meeting, setting out further details of the proposed capital reduction, in due course.