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WH Smith raises £166mln in share placing amid coronavirus disruption

Over 15mln shares were placed to existing and new institutional investors at 1,050p each, a 4% discount to Monday’s closing price

WH Smith PLC (LON:SMWH) has raised £166mln in an emergency share placing to get through the coronavirus crisis.

The newsagents' chain has been battered by closures of its stores in airports and train stations as governments implement travel restrictions.

READ: WH Smith to launch share placing representing up to 13.7% of the company's issued capital

The retailer’s brokers placed 15mln shares to existing and new institutional investors at 1,050p each, a 4% discount to Monday’s closing price.

Some members of management have agreed separately to subscribe to 51,000 new shares at the same price.

Both the placing and the subscription represent 13.7% of the FTSE 250-listed firm’s issued capital.

The fundraise was a condition to receive a new £120mln loan, WH Smith said on Monday.

Shares rose 2% to 1,118p on Tuesday at the opening bell.

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