13th Jun 2019 15:02
(Alliance News) - Helios Underwriting PLC said Thursday it is hoping to raise GBP3.1 million and is hoping to acquire an insurance syndicate from its chief executive.
Helios is a specialist insurer which buys and sells Lloyd's of London insurance syndicates, a group of companies, or underwriters, who join together to insure very high-valued property or high-hazard liability exposures.
The company has conditionally raised about GBP1.2 million by placing 895,313 new shares at a price of 128.00 pence per share.
Shares in Helios were down 0.6% Thursday afternoon at 136.64 pence each.
Additionally, Helios intends to raise a further GBP1.9 million by way of an open offer to existing shareholders, on the basis of one open share offer for every existing 10 ordinary shares.
The company said it will use the proceeds of the placing and open offer to "strengthen" its balance sheet and provide "readily available" funds to acquire further limited liability vehicles when "attractive opportunities arise".
Helios also said it has entered into a conditional agreement to acquire Nameco 1113 Ltd, which is beneficially owned by the company's chief executive, Nigel Hanbury. The GBP2.0 million deal will be satisfied by Helios issuing Hanbury consideration shares.
Helios said Nameco 1113 "participates in a spread of Lloyd's syndicates that broadly matches the existing portfolio of the company".
Nameco 1113 has a total underwriting capacity of GBP2.0 million for 2019. Helios' portfolio has a syndicate capacity of GBP53.7 million.
Related Shares:
Helios Underw