LONDON (Alliance News) - Shares in investment firm TMT Investments PLC fell sharply Thursday after it said it has raised USD3.5 million through a discounted share placing and subscription in order to fund further investments.
TMT placed 1.3 million shares at USD2.43 each and then a further 164,609 shares through a subscription at the same price. The placing price is equivalent to its net asset value as announced on MArch 15 and a 27% discount to the closing share price on Wednesday.
Shares in TMT were 25% lower at USD2.50 on Thursday.
Net proceeds from the raising - after costs - will be USD3.3 million. These funds will be used - alongside cash raised through disposals - to make further investments as well as general working capital needs.
"We are delighted by the support from new and existing investors and welcome a major UK institution to the register," TMT Executive Director Alexander Selegenev said. "The company is increasingly recognised as one of very few AIM-quoted vehicles providing UK investors with exposure to earlier stage, primarily US-based, tech companies."
The use of proceeds will be directed towards investing in additional exciting companies that meet our investment criteria of having outstanding management teams and globally scalable business models," Selegenev added. "We look forward to updating the market on our activities in due course."
After admission - expected next Friday - TMT will have 29.2 million shares outstanding.
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