Certain information contained in this announcement would have constituted inside information (as defined by Article 7 of Regulation (EU) No 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 ("UK MAR")) prior to its release as part of this announcement and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations. 

2 September 2021

i-nexus Global plc

("i-nexus" or the "Company")

Update on trading and financial position

i-nexus Global plc (AIM: INX), a leading provider of cloud-based Strategy Execution software solutions designed for the Global 5000, today provides an update on its trading and financial position.

As described in the Group's interim results announcement in May 2021, management's priorities have been to exploit the growing sales pipeline, to continue to focus on cash conservation, and to further reduce the operating cost base if necessary.

The Board is pleased to report that the business is enjoying an increasingly positive engagement with its prospects and customers, demonstrated by the winning of three contracts in recent months, including two new logos, and two further deals are nearing completion. These are the first new contracts to have been won by the Company for over nine months. This improved engagement and a strong pipeline suggests that momentum is building.

In response to a slower than anticipated pick up in sales up to July and further unbudgeted non-renewing customers in existing accounts (both of which were highlighted as risks within the Interim Results statement), the monthly operating cost base has been further reduced from £360k to £270k over approximately 12 months. As a result, operating performance has been restored to EBITDA breakeven from June onwards.

At the time of the interim results update, the Board noted that whilst the injection of funds received in November 2020 had provided the flexibility to satisfy the Group's near-term funding requirements, there could be no guarantee that these funds would provide sufficient working capital in the longer term in light of the risks the Group still faced, in terms of sales conversion and unbudgeted non-renewing customers.

Having regard to the Group's typically weaker seasonal cashflow profile during the winter months, the Board has concluded that a modest injection of additional capital would provide necessary financial flexibility to allow management to build upon current positive pipeline momentum. Accordingly, the Board has opened discussions with existing convertible loan note holders, who have indicated their support in principle for a further issue of £600k of convertible notes on broadly equivalent terms to those secured in November 2020. The Directors expect to announce detailed proposals and publish a circular, seeking the approval of i-nexus shareholders at a General Meeting, within a matter of weeks.

A further announcement will be made in due course.

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About i-nexus Global plc

i-nexus Global plc ("i-nexus") provides cloud strategy execution software to leading global brands aspiring to excel at strategy execution. The Group's scalable, enterprise grade platform is deployed within multiple global blue-chip businesses, predominantly based across the US and Europe.

By digitalising how companies manage the strategic planning process, from developing robust strategic plans to overseeing their delivery and measuring results for data-driven decision making, i-nexus customers achieve breakthrough performance by delivering more strategic goals at pace.

From transformational initiatives across entire organizations to business unit-specific programs, i-nexus strategy execution software is the choice of leaders tasked with aligning people and results to business-critical goals.