SigmaRoc PLC (LON:SRC) has raised gross proceeds of £12.4mln through a vendor consideration placing to part-fund the initial consideration for the acquisition of CCP Building Products Limited.
The AIM-quoted buy-and-build construction materials group said it placed 30,257,053 ordinary shares at a price of 41p each, a 1.4% discount to Thursday's closing price. In early afternoon trading, SigmaRoc shares were 0.2% lower at 41.50p.
READ: SigmaRoc increases credit facility in order to purchase and cancel £10mln of convertible unsecured loan notes
The company added that the placing, conducted through an accelerated bookbuild process with Berenberg and Liberum Capital acting as joint bookrunners, was supported by existing as well as new shareholders.
SigmaRoc said the vendors of CCP will receive an initial consideration of £15.21mln, satisfied by the issue of 4,878,048 new ordinary shares, with the remainder in cash.
The group said the vendors have agreed not to sell the consideration shares for a period of 36 months subject to certain customary exceptions and a waiver by the company.
It pointed out that the placing shares and the consideration shares in aggregate will represent a maximum of approximately 25.7% of its existing total voting rights.
The placing move comes a day after SigmaRoc revealed it had increased its committed credit facility with Santander UK to a total of £34mln in order to purchase and cancel £10mln of convertible unsecured loan notes.
Looking to expand third platform
Following the completion of the CCP acquisition and the expansion of its available debt capital, SigmaRoc said it will now focus its attention on the expansion of its third platform across Wales and South West England.
At present, the group said, it is involved in a number of separate discussions which vary from early stage to the more detailed, relating to several potential mineral asset acquisition targets.
Based on information to date and subject to detailed due diligence, these assets have revenues ranging from £4mln to £25mln with current EBITDA margins of 10% to 20% and with net assets ranging up to £14mln.
-- Adds placing results, share price --