Investec to raise up to £90m

28th Jul 2009 07:14

South Africa-based bank Investec is to raise up to £90m through a placing of 22m new shares.The placing, representing 4.92% of the existing shares, will be used to fund the repurchase of existing debt at a discount to par."The equity placement and subsequent repurchase of the debt is expected to improve Investec's tier 1 capital without reducing the total capital adequacy ratio, which is consistent with management's objective of maintaining capital levels significantly above regulatory requirements," Investec said. Merrill Lynch is the sole bookrunner for the placing.