19th Feb 2016 16:26
LONDON (Alliance News) - Chemring Group PLC Friday said three directors disposed of nil paid rights and used the proceeds of the sale to take up the balance of their entitlements to shares under a rights issue.
Legal Director Sarah Ellard sold 12,367 shares and Ian Much and Andy Hamment, both non-executives, disposed of 9,810 and 18,456 shares respectively at 19.25 pence each on Wednesday.
Chemring, in January, announced plans to raise GBP80.8 million through a rights issue of shares in order to strengthen its financial position and cut its debt pile, as it posted a wider pretax loss for the year to the end of October.
Chemring, which makes countermeasures such as flares and decoys that military aircraft use against missile attack, as well as sensors and electronics used in military vehicles, said it will raise GBP80.8 million through a fully-underwritten 4-for-9 rights issue at a price of 94.00 pence per share, a 38% discount to the theoretical ex-rights issue price of a share in the company.
Ellard, Much and Hamment, subsequently took up 2,521, 1,965 and, 3,766 shares respectively.
The company also said Chairman Peter Hickson took up 93,332 shares, Chief Executive Officer Michael Flowers took up 40,302 shares and and Juan Navarro, a regional president, took up 54,201 shares.
The stock was down 1.4% at 119.75p Friday.
By Arvind Bhunjun; [email protected]; @ArvindBhunjun
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