Dermot Desmond's IIU in discussions to put €10m into troubled Datalex
Dermot Desmond’s International Investment and Underwriting (IIU) is in discussions to put €10m into Datalex, the troubled travel software business where IIU is the biggest single investor.
The €10m would be made up of a €6.1m secured loan facility, and €3.9m in new shares.
“While discussions are at an advanced stage, there can be no certainty that terms will be agreed with IIU. A further announcement is expected in the coming days,” Datalex said.
The software company’s shares have plunged since it told the market that it may have mis-stated its half-year results. It said it expected to report a loss in adjusted earnings before interest, tax, depreciation and amortisation for the full year, because of a shortfall in services revenue relating to a contract with a customer.
It said the potential misstatement of half-year results had been because of “accelerated recognition of revenue” from that contract.