Result of Placing
No summary for this filing – the full text is below.
Select text to share a quote on X · sign in to keep highlights & notes in your MPAC notes
Mpac Group plc ("Mpac" or the "Company") (AIM: MPAC), the AIM quoted global leader in high-speed packaging and automation solutions, is pleased to announce that, further to the announcement made earlier today regarding the Fundraising (the "Launch Announcement"), it has conditionally raised gross proceeds of £29 million by way of a placing of 7,250,000 new ordinary shares of 25 pence each (the "Ordinary Shares") in the capital of the Company (the "Placing Shares") at a price of 400 pence per Placing Share (the "Issue Price").
The Placing was significantly oversubscribed and was strongly supported by both existing and a large number of new institutional investors. Allocations in the Placing will be confirmed to Placees as soon as practicable today.
Shore Capital Stockbrokers Limited ("SCS") and Panmure Liberum Limited ("Panmure Liberum") are acting as joint bookrunners in connection with the Placing (the "Joint Bookrunners").
Highlights
- The Company has conditionally raised, in aggregate, gross proceeds of £29 million at the Issue Price.
- The Issue Price represents a discount of approximately 3.6 per cent. to the closing mid-market price of 415 pence per Existing Ordinary Share on 30 September 2024, being the latest practicable date prior to the publication of the Launch Announcement.
- Certain Directors are participating in the Placing and are subscribing an aggregate amount of £90,000.
Retail Offer
As announced earlier today, the Company also launched the Retail Offer through the Bookbuild Platform to raise gross proceeds of up to £1 million (before fees and expenses). The Retail Offer provides existing retail Shareholders in the United Kingdom with an opportunity to participate in the Fundraising at the same price as the Placing. The results of the Retail Offer are expected to be announced on 8 October 2024.
Directors' participation in the Placing
| Director | Position | Amount (£) | Number of Placing Shares |
|---|---|---|---|
| Andrew Kitchingman | Non-executive Chairman | 10,000 | 2,500 |
| Adam Holland | Chief Executive Officer | 20,000 | 5,000 |
| William Wilkins | Group Finance Director | 20,000 | 5,000 |
| Sara Fowler | Non-executive Director | 20,000 | 5,000 |
| Matthew Taylor | Non-executive Director | 20,000 | 5,000 |
| Total | 90,000 | 22,500 |
Related party transactions
Schroders, a substantial shareholder of the Company for the purposes of the AIM Rules, has subscribed for Placing Shares at the Issue Price.
The participation by Schroders in the Placing is deemed to be a related party transaction for the purposes of AIM Rule 13. The Directors, having consulted with the Company's nominated adviser, Shore Capital and Corporate Limited ("SCC"), consider that the terms of Schroders' participation in the Placing are fair and reasonable insofar as Shareholders are concerned.
Details of the Placing
The Placing is conditional upon, inter alia, the passing of the Resolutions and the Placing Agreement between the Company and the Joint Bookrunners not having been terminated in accordance with its terms.
A circular (the "Circular") containing details of the Placing, the Retail Offer and the Acquisition (which was announced by the Company earlier today) is expected to be posted to Shareholders tomorrow, on 2 October 2024. The General Meeting is to be held at the offices of Mpac at 2 Argosy Court, Coventry, CV3 4GA at 9.00 a.m. on 18 October 2024. The Circular will be available from the Company's website from 2 October 2024 at mpac-group.com/investor-centre/.
The Placing is not conditional on the completion of the Acquisition. The conditions to the completion of the Acquisition are set out in the Acquisition Announcement and include the Acquisition having become unconditionally authorised from a national security perspective by a decision of the Romanian Competition Council pursuant to Government Emergency Ordinance no. 46/2022 on terms that are reasonably satisfactory to Mpac Bidco, the Resolutions being duly passed and the consultation procedures with the works council established at the level of CSi Industries B.V. in accordance with article 25 of the Dutch Works Council Act (Wet op de ondernemingsraden) having been complied with. In the unlikely event the Acquisition does not complete, the Company may, at its option, decide to use the funds for alternative investments or consider a tax efficient way to return the net proceeds to Shareholders. The Retail Offer is conditional on the Placing but the Placing is not conditional on the Retail Offer.
Admission, settlement and dealings
Admission is expected to take place at 8.00 a.m. on 21 October 2024 and dealings in the New Ordinary Shares are expected to commence at 8.00 a.m. on 21 October 2024 or, in each case, such later time and/or date as the Joint Bookrunners and the Company agree (being in any event no later than 8.00 a.m. on 28 October 2024).
The ISIN number of the New Ordinary Shares is GB0005991111. The TIDM is MPAC.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.