LONDON (ShareCast) - Clear Leisure, has received a formal letter from the government of Regione Piemonte in Italy in support of the Mediapolis project, the company announced on Monday.

Following the support from the Italian county's government and as a result of the licences granted, the company has announced it is considering a placing of £500,000 worth of shares to ensure it has sufficient working capital until the assets are realised or generate enough revenue.

In 2003, Clear Leisure made an application to Regione Piemonte, located in the north-west of Italy, for a building permit on a greenfield site on which it planned to build the Mediapolis theme park.

In 2009 the building permit was approved and formally registered on a legal register of planned developments, but the Mediapolis project has since encountered numerous difficulties in calling the requisite planning meeting with the county's officials.

However, thanks to the introduction of a new legislation in Italy in June 2014, the company's board has now been given the rights of the building licence as well as full administrative support by Regione Piemonte's officials.

The licences owned by the Mediapolis include building rights for 100,000 square metres (sq m) for commercial use, 30,000 sq m for hotels and 10,000 sq m for retail areas.

The land upon which the group had planned to build has been valued at €1.5m, while the licences held by Mediapolis have been valued in the region of €35.6m.

The company has announced its intentions to offer the licences on the open market, as it believes existing business in the region to be interested in purchasing them.

Clear Leisure added that it was still not possible to determine a precise date for the release of the audited 2013 final results or the unaudited interim results to 30 June 2014.

Clear Leisure shares were down 15.15% to 1.40p at 16:40 on Monday.

DC

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