21st Feb 2014 10:04
LONDON (Alliance News) - Innovation Group PLC Friday said it plans to raise GBP67 million in a placing of 209.4 million new shares at 32 pence each, money it will use to fund the acquisition of LAS Claims Management as well as future opportunities.
The software and outsourcing services provider said approximately GBP33.5 million, before expenses, will be raised through a firm placing of 104.5 million new shares, and the other GBP33.5 million through a placing and open offer of 104.8 million new shares.
The group said the proceeds will partly fund the GBP35 million cash acquisition of LAS Claims Management, a deal it announced earlier this week.
Innovation also said the funds raised will give the group the flexibility to pursue an additional bolt on acquisition in the Motor sector, which it said is in very early stage discussions.
The issue price represents a discount of approximately 5.2% to the closing price of 33.75 pence per share on February 20.
Shares in Innovation were trading 1.5% lower Friday morning at 33.25 pence per share.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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