R&Q has said its non-pre-emptive placing, direct subscription, and management subscription will raise gross proceeds of $125m.
Still subject to shareholder approval next month, an aggregate of 97,828,596 Placing Shares and Direct Subscription Shares have been placed with institutional investors at a price of 105 pence per Placing Share. This represents a fall of roughly 40% from when Brickell first said it was to acquire R&Q in April.
According to the firm, the issue price represents a premium of 14.1% to the closing share price of 92 pence on 13 June 2022. The Placing Shares, Direct Subscription Shares and Management Subscription Shares together represent approximately 35.5% of the issued ordinary share capital of R&Q prior to the Placing, Direct Subscription and Management Subscription.
It was only yesterday that R&Q said that it had decided to upsize its Fundraise, increasing the gross proceeds of the Placing to approximately $125m. The firm’s board said that it intended to use the proceeds of the fundraise to continue the de-lever of the business.
R&Q also announced a settlement, without any admission of liability by either party, with Brickell of the allegations set out in the company’s announcement of 25 May 2022 relating to the implementation agreement. This settlement includes the payment by the Company of $1.25m to Brickell as a contribution towards costs and relates to an acquisition agreement between the pair that failed earlier this year, which followed an $80m investment from Brickell in January 2021.
Concurrently with the Placing and the Direct Subscription, as set out in the Company’s announcement of 13 June 2022, certain directors and members of the senior management team of the Company will subscribe for an aggregate of 1,053,715 New Ordinary Shares, at the Issue Price, pursuant to subscription letters entered into with the Company.
