12th Jun 2015 08:05
LONDON (Alliance News) - Scooter manufacturer Vmoto Ltd said Friday it has raised AUD8.9 million through the placing of 19.78 million shares at AUD0.45 per share.
Vmoto plans to use the proceeds to enhance manufacturing efficiency and research and development capabilities at Nanjing Haiyong Electronic Technology Co Ltd, and for further investment in its electric three and four-wheel joint venture division. It will also put funds towards enhancing its Australian distribution capabilities, investing further in China and its international marketing efforts.
Vmoto acquired Haiyong in September of last year, replacing a previous agreement between the two companies to enter into a joint venture.
"We are very pleased with the strong support received for Vmoto's capital raising in Australia and the UK that saw the raising oversubscribed and new institutions participate. The level of interest clearly demonstrates the significant evolution the company has undergone in the past few years that has seen Vmoto become a global electric scooter manufacturing and distribution group," said Managing Director Charles Chen in a statement.
Shares in Vmoto are trading up 4.3% at 24.50 pence Friday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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