LONDON (Alliance News) - Cobham PLC on Friday said it has secured 100% take-up of its fully-underwritten rights issue after the underwriters managed to place the remaining shares via the rump placing.
The FTSE 250-listed company, which makes satellite communications equipment, microelectronics products and air-to-air refuelling technology for the aviation, maritime, defence and space sectors, first said it would raise funds in April in a bid to shore up its finances after it issued a profit warning for the full year.
It then detailed those plans in June, saying it would raise GBP506.7 million through a fully-underwritten, one-for-two rights issue. It has issued 569.3 million shares at 89.00 pence per share in the rights issue, a 45% discount to its closing price the day prior to the issue being detailed.
Shares in Cobham were up 2.8% to 142.70p mid-morning on Friday.
On Friday morning, Cobham said it had received valid acceptances for just over 97% of its fully-underwritten rights issue, some 553.4 million of the shares.
Later in the morning, Cobham confirmed Bank of America Merrill Lynch and Jefferies International, the underwriters of the issue, had managed to procure subscribers for the balance of shares remaining, meaning the issue has been fully taken up.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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