LONDON (Alliance News) - Proxama PLC on Friday reported a wider pretax loss in 2015, although revenue rose, as it announced it has raised GBP2 million in a share placing.
The mobile payments company said its pretax loss widened to GBP6.1 million in 2015 from GBP5.9 million in 2014, despite revenue multiplying to GBP2.5 million from GBP650,978.
Profit was hindered by an increase in administrative expenses to GBP8.6 million from GBP5.8 million, but revenue was boosted by good progress within the digital payments division.
"2016 trading continues to improve with income year-on-year growth of more than 50% after 5 months," Chairman David Bailey said in a statement.
"We look forward to an exciting and dynamic 2016 and the opportunities ahead of us and the chance to reward our patient and supportive shareholders," he added.
Separately, Proxama said it has raised GBP2 million through the placing of 666.7 million shares at 0.3 pence each.
Shares in Proxama were trading down 46% at 0.393 pence on Friday afternoon.
The placing was conducted by way of an accelerated bookbuild on the company's behalf by Peel Hunt and the proceeds will be used for working capital purposes.
Proxama said directors of the company have invested GBP260,000 as part of the placing.
Following completion of the placing Friday, Proxama confirmed that Non-Executive Director Gavin Breeze bought 66.7 million shares, taking his holding to 216.7 million shares representing 13% of the company's issued share capital.
Non-Executive Chairman bought 20 million shares, taking his total holding to 32.8 million shares representing 1.9% of the company's issued share capital.
"I would like to thank our existing and new shareholders for the faith they have put in Proxama and look forward to updating shareholders on our progress in the months ahead," Chief Executive John Kennedy said in the statement.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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