3rd Jun 2015 06:37
LONDON (Alliance News) - Kier Group PLC Wednesday said its GBP340 million fully-underwritten rights issue was 91.65% taken up, and the bookrunners are now procuring buyers for the remaining shares.
The property and construction services company had announced a five for seven rights issue of 39.6 million new shares at 858 pence a share the end of April. It said 36.3 million had been taken up by the closing time on June 2. Joint bookrunners JP Morgan and Numis Securities are now procuring subscribers for the remaining 3.3 million shares, and will buy the shares themselves if they don't find subscribers.
The rights issue was to raise funds for Kier's GBP265 million acquisition of peer Mouchel. The proceeds from the rights issue will also be used to repay Mouchel's debt at the time of the acquisition and will cover the integration costs of the deal and pay the costs associated with both the rights issue and acquisition.
Kier Group shares closed at 1,361.00 pence Tuesday.
By Steve McGrath; [email protected]; @stevemcgrath1
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