PensionBee Group PLC (LSE:PBEE) has raised £20 million in an oversubscribed share placing that was well supported by both new and existing investors.
It meant the company was able to get the issue of new stock off the books without having to discount newly-minted stock.
Using the fresh cash influx, the company, an online pension provider, plans to rapidly grow its US operation.
So, it expects to ramp up spending on paid advertising across channels such as paid search, social media, out-of-home campaigns, TV, and radio.
Additionally, PensionBee will benefit from marketing support from State Street, aimed at accelerating new customer acquisition.
The funding will also be used to develop localised product features tailored to attract US customers.
These include Roth IRA options, improved account search tools, calculators, and retirement provider integrations, which will help customers roll over their retirement accounts more quickly and efficiently.
In early trading, the stock was off 4%.