Ultimate Sports Group raises £0.5m in placing

28th Jun 2016 14:29

(ShareCast News) - Investment vehicle Ultimate Sports Group announced on Tuesday that it has raised £0.5m through the placing of 5 million new ordinary shares of 10p each, at a price of 10p per share, with new and existing investors including the some of the company's own directors.The AIM-traded firm said the funds raised will be used to support the rollout of its online platform for children, which measures, motivates and incentivises their personal sporting performance, as well as supporting general working capital requirements.Dowgate Capital Stockbrokers arranged to place 2 million new shares to raise £200,000 before expenses, with chairman Richard Owen, and director and CEO Geoffrey Simmonds both participating in the Dowgate Placing.Each of them invested £50,000 for the subscription of 500,000 new shares.Northland Capital Partners arranged to place a further 3 million new shares to raise £300,000 before expenses.Ultimate's board said provisional approval has been obtained from Her Majesty's Revenue and Customs for the Northland Placing to qualify for Enterprise Investment Scheme relief."We are delighted to have raised £500,000 to continue the roll-out and development of our innovative sporting platform, which provides a secure and exciting way for children to improve their personal sporting skill sets," said Ultimate Sports CEO Geoffrey Simmonds."With an increasing number of government-backed initiatives promoting healthier, more active lifestyles amongst children, there is undoubtedly a demand for our platform, which not only promotes engagement with sport but aims to encourage children to improve their fitness levels and sporting skills."We look forward to keeping shareholders updated with our progress during this exciting period of growth for the company," Simmonds added.