Shares in Ten Alps (LON:TAL) scaled the heights after the multimedia producer announced plans to raise up to £1mln through a share subscription.
Seeing as the market value of the company prior to the announcement of the letter of subscription agreement was only about £633,000, the cash raise is obviously a big deal for the company, and shares shot up 213% to 0.705p, valuing the company at £2.11mln.
Chairman Peter Bertram and fellow directors Mark Wood and Tim Hoare will subscribe for £50,000 of shares, while director Nitil Patel is subscribing for £20,000.
The subscription price has yet to be set, but will be linked to the market price.
The company said the funds raised will strengthen the business and give it greater flexibility to pursue growth opportunities.
The group also announced a sharp reduction in adjusted underlying losses (EBITDA) in the 15 months to 30 June 2014.
The EBITDA loss for the 15 month period was £1.13mln, compared to a loss of £2.71mln for a 12 month period in the previous year.
The group ended the period with cash of £2.58mnn, down from £3.13mln a year earlier, while gross debt, which matures in 2016, rose to £8.45mln from £6.87mln.