26th Jul 2018 11:19
LONDON (Alliance News) - Mothercare PLC said Thursday it raised GBP32.5 million via a placing and open offer of 170.9 million shares at 19.0 pence each.
Shares in Mothercare were down 1.5% Thursday at 20.45 pence each.
The open offer closed Wednesday. Mothercare received valid acceptances for 133.0 million shares, about 80%. The remaining 37.8 million shares will be taken up pursuant to the placing.
The placing and open offer was conditional on the resolutions being passed at the company's General Meeting being held Thursday. In a separate announcement, the baby products retailer said that all of the resolutions passed at the general meeting.
Following admission, expected Friday on London's Main Market, Mothercare will have 341.7 million shares in issue.
Interim Executive Chairman Clive Whiley said: "Earlier this year Mothercare faced a bleak future with growing financial stress upon the business and in May, we announced a series of measures to refinance and restructure the business.
"Conditions in the retail sector remain challenging and we know we must adapt with pace as we move forward. We are clear what needs to be done and have targeted significant efficiencies and cost savings, as well as areas of investment, both of which will underpin our return to a sustainable future.
"The whole team is focused on getting Mothercare, the global brand, back to where it should be as a fit for purpose business with a stronger, stable and more efficient structure both here in the UK and within our International operations."
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