Angling Direct PLC (LON:ANG) has raised £5.5mln through a share placing to strengthen its balance sheet to cope when stores reopen after the coronavirus lockdown.
The fishing equipment specialist said it is anticipating high demand in the coming weeks as lockdown restrictions are eased and retail stores reopen from June 15.
This date coincides with the start of the coarse fishing season and Angling Direct said it wants to be able to pay suppliers to secure supplies of products.
The share issue was priced at 50p, a 15% discount to last night’s close, and was carried out through a bookbuild programme by broker Nplus1 Singer.
Andy Torrance, Angling Direct, chief executive, said: "We are delighted with the strong support received from our existing shareholders and welcome new investors onto the register.
“Whilst Covid-19 has presented many uncertainties, Angling Direct has demonstrated its resilience as a business with its e-commerce operations continuing to outperform to cater to the increased demand from our loyal customers.
“In addition, we look forward to the full re-opening our retail stores on 15 June 2020 which will also coincide with the start of the coarse fishing season.“
Shares fell 14% to 50.5p.
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