22nd Oct 2018 12:49
LONDON (Alliance News) - eServGlobal Ltd on Monday said it completed the retail component of its 1-for-11 accelerated non-renounceable entitlement offer.
The retail offer represents the second stage of the financial services provider's GBP19 million fundraising, announced in September.
Back then, the company said it intends to raise GBP19 million to fund its share of an expected capital raise by its HomeSend joint venture and to help position the core eServGlobal business for sale.
Overall, the company issued 304.0 million shares at a price of 6.25 pence each under a firm placing, institutional offer and retail offer. eServGlobal shares were trading 3.7% lower on Monday at 6.50 pence each.
eServGlobal had raised GBP13.9 million via the firm placing and GBP3.9 million through an institutional offer. It has now received valid applications for 4.6 million shares, representing 23% of the retail offer.
Shares which were not taken up by qualifying holders under the retail offer have been allocated to the institutional investors, the company said, under a clawback placing. The total amount of shares that will be issued to the institutional investors is 15.2 million shares.
As a result, the company expects to raise GBP1.2 million through the retail offer.
Following the admission, eServGlobal will have 1.21 billion shares overall.
The company also noted that Non-Executive Director Stephen Baldwin subscribed for 141,302 shares at a price of 6.25 pence each, worth GBP8,831.
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