24th Oct 2018 11:00
LONDON (Alliance News) - Fishing equipment firm Angling Direct PLC on Wednesday announced a fundraise worth GBP20 million to increase both its in-store and online presence.
Angling Direct is to issue 21.6 million shares at a price of 92.5 pence each. Shares were down 3.5% on Wednesday at 96.48p apiece.
The cash will be used to open around 20 new stores in the UK in 2019 and 2020 as well as "significantly" increase online sales. This latter part will include new local language websites in Europe.
Angling Direct also will use the funds for a European marketing campaign, to explore further acquisitions, and to increase headcount.
Chief Executive Darren Bailey commented: "We are delighted with the level of support Angling Direct has received from its existing and new investors.
"The business has made excellent progress in the 15 months since joining AIM, with acquisitions completed, new stores opened, and revenue grown significantly," Bailey continued.
"The new funds will allow Angling Direct to go to the next level, as we seek to extensively increase our UK footprint and expand into Europe through our successful online business."
The firm also said Wednesday that Non-Executive Director Stephen Moon will leave on January 23 next year, having helped the firm with its float in London in 2017.
Bailey said: "I would also like to take this opportunity to thank Stephen Moon for his contribution to the company. His advice and guidance has been highly valuable since Angling Direct became a public company, and we wish him the very best for the future."
Earlier this month, Angling Direct said pretax profit jumped to GBP572,000 from GBP86,000 for the six months to July, with revenue climbing 55% to GBP21.9 million, helped by new store openings.
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