Coburg Group plc (AIM:CGG) announced a private placement of 175,000 common shares at a price of £0.60 per share for proceeds of £105,000 and convertible loan notes for proceeds of £80,000, raising the gross proceeds of £185,000 on January 29, 2013. The notes will be issued to Konrad Legg, Jeremy Maynard, and to other investors including Bruce Rowan, a substantial shareholder in the company who has indicated his intention to vote in favor of the resolutions to be put to shareholders at the forthcoming general meeting. Further details of the transaction will be included in the circular that will shortly be sent to shareholders. The transaction will be approved by the shareholders in the general meeting.

On March 15, 2013, the company announced that tha shareholders have approved the transaction. The company will now issue convertible notes for the whole amount. The notes issued will carry 6% interest rat payabl per annum and will mature on May 30, 2014. The notes will convertible into the common shares of the company at £0.65 per share.