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Leisure, gaming and gambling

ITE Group shareholders dig deep to reduce Russian exposure

Shareholders will be offered rights shares on a 7-4 basis at 56.2p, raising a net £265mln

Exhibitions Group ITE Group PLC (LON:ITE) has launched a deep discount rights issue to fund the acquisition of Ascential Events in a move to lessen its dependence on Russia.

ITE flagged the purchase last month and shareholders will be offered rights shares on a 7-4 basis at 56.2p, raising a net £265mln.

READ: Threat of US sanctions hits Russia-focused stocks

The remainder of Ascential's £300mln purchase cost will be met by debt.

Shares in ITE closed last night at 145.4p.

Ascential owns education technology event Bett and electrical engineering fair CWIEME as well as UK exhibitions brands The Spring and Autumn Fairs and Pure.

ITE's directors have indicated they will take up their full entitlements in the right issue.

The acqusition will lower the percentage of ITE's revenue that comes from Russia to 31% from 47%.

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