(Alliance News) - Blue Star Capital PLC on Tuesday said it has raised GBP500,000 through a 416.7 million share placing at 0.12 pence per share.
Shares in Blue Star were up 9.2% at 0.14p in London in late morning trading.
The investment company, which focuses on new technologies, said it will use the GP500,000 for additional working capital as well to invest in "new and existing opportunities".
Canadian investment fund Paniolo Ventures Inc invested GP250,000 for 208.3 million placing shares, equivalent to a 5.5% stake in Blue Star's enlarged share capital.
Existing shareholder Nicholas Slater invested GBP175,000, increasing his holding to 503.8 million shares or a 13% stake.
Once all placing shares are admitted, Blue Star will have 3.76 billion shares in issue.
Chief Executive Tony Fabrizi said: "We have taken this opportunity to raise funds to provide the company with working capital and investment funds to allow us the flexibility to participate in future funding rounds of our portfolio companies during the remainder of the year. We are pleased to have our largest shareholder supporting the raise and to also introduce a new institutional investor to our shareholder base."
By Anna Farley; annafarley@alliancenews.com
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Blue Star (BLU)