Instem raising £15.75m in placing

26th Jun 2020 15:43

(Sharecast News) - Life sciences IT company Instem announced a proposed placing of new ordinary shares on Friday, to raise gross proceeds of around £15.75m.
The AIM-traded firm said the placing price was 435p per share, with the proceeds net of expenses expected to total £15m.

In addition, it announced a proposed placing of existing shares and new shares resulting from the intended exercise of share options at the placing price, by certain directors and their relatives and related trusts, to raise gross proceeds receivable by the sellers of around £3m.

It was being conducted by way of an accelerated bookbuild process, which was launched immediately following the company's announcement on Friday morning.

The board noted the placing price of 435p represented a discount of 4.4% to the closing mid-market price of 455p on 25 June.

"The net proceeds of the placing receivable by the company will be used to accelerate the group's acquisition strategy with a number of potential compelling opportunities for bolt on acquisitions and more substantial targets having been identified," the board explained in its statement.

At 1238 BST, shares in Instem were down 1.1% at 450p.