8th Apr 2020 11:42
(Alliance News) - Safestyle UK PLC on Wednesday said it has completed its previously announced GBP8.5 million capital raise, issuing 50 million shares at 17 pence per share, to strengthen balance sheet during the Covid-19 pandemic.
Shares in the company were up 25% at 20.97 pence each in London. They rose as high as 27.90p earlier.
The PVC replacement window retailer and manufacturer said directors including Non-Executive Chair Alan Lovell, Chief Executive Officer Mike Gallacher, Chief Financial Officer Rob Neale and non-executive directors Fiona Goldsmith and Julia Porter in aggregate bought 619,000 shares in the placing.
Chair Gallacher said: "The business has made strong progress in recent years, and I believe that, as a result of the actions taken, we are well placed to weather the Covid-19 crisis and emerge to resume our recent positive momentum. Together with our existing funding arrangements, this equity fund raise significantly strengthens our balance sheet, providing further headroom should we need to extend our temporary shutdown in line with Government guidance, protecting the NHS and saving lives".
Following admission of the placing shares, the company's issued share capital will consist of 132.8 million ordinary shares, so the new shares represent 38% of its expanded total.
By Tapan Panchal; [email protected]
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