Amigo Holdings PLC (LSE:AMGO) shares fell 20% to 0.42p as the former lender completed its financial wind-down and is now repositioning for a potential reverse takeover in the mining sector, following the appointment of Craig Ransley as executive chair and a series of capital-raising initiatives.
At the end of September, Amigo's subsidiaries entered members' voluntary liquidation and appointed liquidators, saying there was not enough available cash to make any further payments to the approximately 130,000 creditors.
Before liquidation, the subsidiaries transferred about £740,000 in surplus cash to Amigo, which undertook to pay winding-up costs, expected to be around £290,000.
The remaining £460,000 was to cover running costs and its ongoing search for an RTO opportunity.
The company reported results for the 18 months to 30 September 2025, marking the completion of its scheme of arrangement and the voluntary liquidation of all operating subsidiaries.
Ransley, an Australian entrepreneur appointed by the firm as a consultant two months ago, has today been appointed to lead the board after securing commitments for £1.5 million in risk capital via convertible loan notes.
Jonathan Roe, outgoing chair, will remain on the board as senior independent director with specific responsibility for corporate governance.
Amigo has also launched a WRAP retail offer to raise up to £188,100 from existing shareholders, priced at 0.3p per share to existing shareholders.
Ransley, who brings mining sector experience from roles at miners TerraCom and Universal Coal, said: "A key focus of mine will be exploring the opportunity to reposition Amigo with a focus on gold and rare earth mining opportunities in Africa, principally in Tanzania and Mauritania."
While there is no certainty an RTO will complete, the company said it "continues to make meaningful progress, which would deliver some value to shareholders that would otherwise not be possible".