LONDON (Alliance News) - Starcom PLC said Thursday it intends to raise GBP637,500 via subscription of shares to pay suppliers, meet product demand and for working capital purposes.
The company will issue 51.0 million shares at 1.25 pence per share to new and existing shareholders. Shares in the tracking system firm were 23% lower at 1.28 pence each in morning trade.
"These new funds will enable the company to pursue a more aggressive marketing strategy as we are promoting our new range of tracking and monitoring products, to take advantage of the positive responses we are receiving from existing and potential clients and to leverage our position as one of the world leaders in our technological market place," said Chair Michael Rosenberg.
In addition, Starcom has appointed Martin Blair as non-executive director, subject to the completion of due diligence.
Blair is currently a non-executive director at Kape PLC and Cakebox Holdings PLC, and his most recent executive role was interim chief financial officer for medicine development centre Precision Medicine Catapult Ltd for a year from 2015 to 2016.
Following the subscription, Starcom will have 344.4 million shares issued overall.
Star Energy (STAR)