Marlowe PLC Placing to raise approximately £10 million (5127R)
December 12 2016 - 1:00AM
UK Regulatory
TIDMMRL
RNS Number : 5127R
Marlowe PLC
12 December 2016
12 December 2016
Marlowe plc
Placing to raise approximately GBP10 million
Marlowe plc ("Marlowe", the "Company" or the "Group"), the
support services group focused on acquiring and developing
companies that provide critical asset maintenance services, today
announces a Placing to raise approximately GBP10 million. The
Placing Proceeds will be used to support Marlowe's acquisition-led
growth strategy.
The Placing will raise approximately GBP10 million before
expenses through the issue of 3,450,000 new ordinary shares of 50
pence each (the "Placing Shares") at 290 pence per share (the
"Issue Price") to certain existing and new investors. The Placing
was oversubscribed and the Issue Price is equal to the mid-market
closing price per share of 290 pence on Friday 9 December 2016.
Application will be made for the Placing Shares to be admitted
to trading on AIM at 8.00 a.m. on 16 December 2016. Following
admission of the Placing Shares, the total number of voting rights
in the Company is expected to be 30,916,995.
Alex Dacre, Chief Executive of Marlowe plc, commented:
"We are pleased by the strong level of support we have received
in this fundraising, and in particular to have attracted several
major institutional investors as new shareholders. The funds raised
from this placing will provide us with resources to continue to add
scale to Marlowe through our acquisition-led growth strategy and to
generate further strong returns for investors."
For further information:
Marlowe plc www.marloweplc.com
Alex Dacre, Chief Executive Tel: +44 (0) 203 841
6194
IR@marloweplc.com
Cenkos Securities plc (Nominated Adviser and Broker)
Nicholas Wells Tel: +44 (0)20 7397 8900
Elizabeth Bowman
FTI Consulting
Nick Hasell Tel: +44 (0)20 3727 1340
Alex Le May
About Marlowe plc
Marlowe is an AIM-listed company formed to create sustainable
shareholder value through the acquisition and development of
businesses that provide critical asset maintenance services in the
UK. It is focused on fire protection, security systems and water
treatment services - which are essential to its customers'
operations and invariably governed by regulation, and where
customers require a single specialist outsourced provider with
nationwide coverage. Our customers can be found on most high
streets, in office complexes and industrial estates, and include
SMEs, local authorities, facilities management providers,
multi-site NHS trusts and FTSE 100 companies.
The information contained within the announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the
publication of this announcement via Regulatory Information Service
("RIS"), this inside information is now considered to be in the
public domain.
Background to and reasons for the Placing
The Board continues to review a significant number of potential
acquisition targets within the fire protection, security systems
and water treatment services segments, and aims to take advantage
of further opportunities for consolidation in these markets over
the coming 12 months. In the longer term, the Board will also look
to explore adjacent service markets which share the same channel to
market. The Placing will also provide Marlowe with additional
working capital for the business going forward.
The Placing and Placing Agreement
The Company will raise approximately GBP10 million gross
proceeds (approximately GBP9.7 million net of expenses) through the
Placing of the Placing Shares at the Issue Price through Cenkos
Securities plc ("Cenkos"). The Placing Shares will be issued under
the Company's existing authorities.
The Placing is not underwritten. The Placing Agreement contains
certain warranties and indemnities from the Company in favour of
Cenkos and is conditional, inter alia, upon:
(a) the Placing Agreement having become unconditional in all
respects (save for the condition relating to Admission) and not
having been terminated in accordance with its terms prior to
Admission; and
(b) Admission becoming effective not later than 8.00 a.m. on 16
September 2016 for the Placing Shares.
The Placing Agreement contains customary warranties and an
indemnity from the Company in favour of Cenkos together with
provisions which enable Cenkos to terminate the Placing Agreement
in certain circumstances prior to Admission (as applicable),
including where any warranties are found to be untrue, inaccurate
or misleading in any material respect or in the event of a material
adverse change in the financial position or prospects of the Group
in the context of the Placing or Admission.
Use of proceeds of the Placing
The net proceeds of the Placing of approximately GBP10 million
will be used to:
-- provide funds for further acquisitions as part of Marlowe's
ongoing buy-and-build strategy; and
-- provide working capital for the Group.
EXPECTED TIMETABLE OF PRINCIPAL EVENTS
Announcement of the Placing 12 December 2016
Admission and commencement of dealings 8.00 a.m. on 16 December
in the Placing Shares 2016
Placing Shares credited to CREST 16 December 2016
stock accounts
Despatch of definitive share certificates week commencing 19 December
for Placing Shares 2016
Notes:
(i) References to times in this Document are to London time (unless otherwise stated).
(ii) If any of the above times or dates should change, the
revised times and/or dates will be notified by an announcement to
an RIS.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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