Corero Raises GBP6.5M New Capital, Sells Financial Markets Unit

14th Jul 2010 07:48

LONDON (Dow Jones)--Corero PLC (CORO.LN), a specialist provider of software solutions to the education and banking and securities markets, said Wednesday it plans to raise GBP6.5 million of new capital, sell its Financial Markets division and appoint Andrew Miller as executive director responsible for finance, operations and M&A. MAIN FACTS: -GBP6.5 million raised by a placing (GBP2.0 million) and subscription (GBP4.5 million). -GBP2 million 8% convertible unsecured redeemable loan stock converted into ordinary shares. -Company will be debt free post transactions. -Financial Markets division sold to Brokerhorse Ltd., a subsidiary of Rivington Street Holdings PLC (RIVP.PM) - consideration is the assumption by Rivington of GBP2 million of the Company's CULS. -Future strategy and prospects: * Invest and grow the Business Systems division; * Develop through a buy and build strategy a network security solutions business. * Sector should continue to grow as security threats proliferate and the market demand for evolved security products increases. * Focus on delivering high growth solutions (with related services providing recurring income) to mid-market and larger customers as well as telecommunications service providers. -Corero shares closed Tuesday at 34 pence valuing the company at GBP0.52 million. -By Ian Walker, Dow Jones Newswires; 44-20-7842-9296; [email protected] (END) Dow Jones Newswires July 14, 2010 02:48 ET (06:48 GMT)