LONDON (Alliance News) - iEnergizer Ltd Tuesday said it has raised GBP2.1 million in a placing with a company connected with Non-Executive Director Anil Aggarwal, as the outsourcer needs the cash to comply with the terms of a USD135 million loan facility it entered just over two years ago.
In a statement, the iEnergizer said it is issuing 15.1 million new shares to EICR Cyprus Ltd at 14 pence per share, a 49% discount to the closing price of 27.5 pence per share on Monday. iEnergizer shares were untraded at 25.20p on Tuesday morning.
Aggarwal is the ultimate shareholder of EICR Cyprus, which will now owns 80.41% of iEnergizer. The placing shares account for an 8.99% stake in the company.
iEnergizer agreed the six-year senior secured term-loan facility with a syndicate of commercial lenders in May 2013.
The proceeds of the placing will be used to pre-pay part of the facility on or before Thursday this week.
"The directors believe that this cash injection will enable the company to strengthen its balance sheet and will also enable the company to continue the business reorganisation currently being undertaken and focus more clearly on a go-to-market sales and services delivery model
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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