MAN13 Sep 2012 09:49
PLACING
The Group also announces today that it has conditionally placed 850,000 ordinary shares at a price of 57p per share (the "Placing Price") to raise gross proceeds of £484,500 in accordance with the share issue authorities granted by shareholders at the Annual General Meeting of the Company held on 4 April 2012. This represents an increase of 4.7% in the issued share capital of the Company and increases its issued share capital to 19,044,202 ordinary shares. The Placing Price represents a discount of 0.9% to the 57.5 pence closing mid-market price of Manroy's ordinary shares on 12 September 2012, being the last practicable date before this announcement. Admission to AIM and dealings in the new shares are expected to commence at 8.00am on 19 September 2012.
The Placing will enable the Group to provide MUSA with sufficient funds which are expected to allow it to finalise the remaining requirements of the FAA approval process. This will then enable MUSA to begin delivering on its substantial existing order book of contracts to the US DoD. In addition, the Directors expect that the funds raised from the Placing will enable MUSA to become cashflow positive in the financial year 2012/2013 and therefore MUSA will not require further inter-group finance to fund the delivery and execution of its £9.8m order book.
This placing includes a subscription for 100,526 ordinary shares at the Placing Price by Andrew Blurton, Chairman of Manroy, increasing his shareholding from 345,000 ordinary shares to 445,526 ordinary shares, representing 2.3% of the Company's enlarged share capital. It also includes a subscription for 109,374 ordinary shares at the Placing Price by Brian O'Donnell, a Director of Manroy, increasing his shareholding from 122,526 ordinary shares to 231,900 ordinary shares, representing 1.2% of the Company's enlarged share capital.
Following the Placing and based on the Group's current projections, Manroy has sufficient working capital for at least 12 months following this announcement.