9th Jul 2018 09:05
LONDON (Alliance News) - Freight management services provider Xpediator PLC said Monday it plans to raise GBP7 million via placing to fund the acquisition of contract logistics and warehousing business Import Services Ltd.
The company will issue shares at 70p each, at a 19% discount to the closing price of 86.0p on Friday. Shares in Xpediator were trading 5.5% lower at 81.25 pence each early Monday morning.
The deal to acquire Import Services has a total consideration of GBP12.0 million.
The initial payable sum amounts to GBP9 million of which GBP6 million in cash and the rest via Xpediator share issue.
In 2017, Import Services generated revenue of GBP21.7 million and pretax profit of GBP1.8 million.
The company's joint brokers SP Angel Corporate Finance LLP and Cantor Fitzgerald Europe will manage the accelerated bookbuild, which will be launched immediately.
"Import Services shares similar characteristics to our previous transactions in that it is a well- established, profitable business which is operating in complementary but sufficiently distinct areas to add to both Xpediator's profitability and service capabilities," Xpediator Chief Executive Officer Stephen Blyth said.
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XPD.L