Business
Placing
Placing.
About this update from Genus Plc
[{"type":"text","content":"\n Genus PLC\n01 November 2007\n\n\nFor immediate release 1 November 2007\n\n\n NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, DIRECTLY OR\n INDIRECTLY, IN OR INTO THE UNITED STATES, JAPAN, CANADA, AUSTRALIA OR THE\n REPUBLIC OF IRELAND\n\n Genus plc\n ('Genus' or 'the Company')\n\n Placing of 2,700,000 Ordinary Shares at 720 pence per share\n to raise £19.4 million (the 'Placing')\n\nGenus plc (AIM: GNS), a world leading animal genetics company, is pleased to\nannounce that it has raised £19.4 million before expenses, through a placing of\n2,700,000 new Ordinary Shares at 720 pence each ('Placing Shares'). These shares\nhave been conditionally placed with institutional investors by the Company's\njoint broker, Panmure Gordon. Landsbanki Securities has acted as NOMAD and\nfinancial adviser to Genus on the Placing.\n\nThe proceeds of the placing will be used to reduce the Company's net debt and\nprovide additional financial flexibility for the management team to run the\nbusiness. Furthermore, the directors of Genus believe that the Placing will be\nearnings enhancing as it will reduce the absolute and percentage rate charged on\nthe Company's net debt.\n\nApplication will be made for admission of the Placing Shares to AIM and dealings\nare expected to commence on 6 November 2007. The Placing Shares will, on\nAdmission, rank pari passu with the existing Ordinary Shares.\n\nAs announced on 12 October 2007, the Company is progressing its move to the\nOfficial List, and is expecting cancellation from AIM to take place\nsimultaneously on 12 November 2007.\n\nRichard Wood, CEO, commented on the Placing and the current trading of the\nCompany:\n\n'We are very pleased with the successful Placing which has been favourably\nreceived by institutions. These additional funds reduce Genus' net debt to below\n£100 million, resulting in reduced interest costs on the remaining debt. We are\nnow well placed to manage the disposal programme of the non-core assets on a\ncontrolled basis, ensuring best value for Genus and our shareholders. The result\nwill be a Company operating with improved efficiencies both structurally and\nfinancially.\n\nThe new financial year has started well. Genus is in a unique position to\nbenefit from improving World agricultural markets and to continue to deliver\nsolid long-term growth. This will ...