Business
Subscription to raise £1.1m and Director Dealing
Subscription to raise £1.1m and Director Dealing.
About this update from Software Circle Plc
[{"type":"text","content":"\n \nRNS Number : 8013T Grafenia plc 25 March 2019 \n\nThe information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (\"MAR\"). With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.\n \n25 March 2019\n \n Grafenia plc\n(\"Grafenia\", the \"Company\" or the \"Group\")\n \nSubscription to raise £1.1 million and Director/PDMR Dealing\n \nGrafenia plc (AIM: GRA) is pleased to announce that it has raised approximately £1.1 million, before expenses, by way of a subscription (the \"Subscription\") for 7,868,517 new ordinary shares (the \"Subscription Shares\") at 13.5 pence per Subscription Share (the \"Subscription Price\") from existing investors.\n \nReasons for the Subscription and Use of Proceeds\nThe Board has a clear strategy to accelerate the growth of Grafenia through the acquisition of sign businesses and to open further Nettl Business Superstores. In addition to this, and as noted in the Company's announcement on 17 January 2019, the Board is also investing in its Production Hub at Trafford Park, Manchester.\n \nThe Board intends to use the net proceeds of the Subscription for multiple purposes: to relocate and integrate Image Everything's operations into the Group's main production hub in Manchester, to invest in the launch of Nettl of America, to make further small acquisitions and for the Group's general working capital requirements.\n \nThe Board has forecast significant savings and improvement in efficiencies by consolidating our two facilities. We are not anticipating labour reductions as a result of this process.\n \nNettl of America was launched at an event in Orlando, Florida on 7 March 2019. In the United States, Nettl is a bolt-on franchise which is regulated by federal and state law. We have completed pre-sale registration and disclosure requirements to begin marketing in selected states. We have undertaken several exploratory meetings with potential franchisees and the Directors believe that the scope exists to grow a Nettl franchise network in the US.\n \nThe Board continues to review opportunities to acquire sign businesses. In the Company's interim...