Financial services group Tavistock has raised an additional £300,000 by placing new shares, following last week’s unanimous vote to acquire Standard Financial Group, the holding company of advice network Financial Limited.
In January, the Tavistock Group has agreed to buy Standard Financial Group, the holding company of advisory firm Financial Limited, after the network admitted it was facing cashflow troubles.
In addition to the £2.7m raised by the company to provide additional regulatory and working capital through a placing and subscription, the directors previously reported that an additional £355,856 was raised from existing shareholders pursuant to the initial open offer.
Today (20 February) financial services group Tavistock Investments announced it has raised an additional £300,000 by way of a placing of 15m new ordinary shares of 1p each at a price of 2 pence per share, being the same price at which its recent placing and open offer were completed.
Participants in the placing include three of the group’s senior staff: chief executive Brian Raven, chief investment officer Christopher Peel, and head of business development Stephen Moseley.
This means Mr Moseley will be interested in 32,422,244 ordinary shares representing 11.2 per cent and Mr Raven will be interested in 14,993,756 ordinary shares representing 5.2 per cent of the then issued ordinary share capital and voting rights of the company.
The proceeds will be utilised for general working capital purposes and the board confirmed that the company has no current need or intention to raise additional capital.
An application will be made for the placing shares to be admitted to trading on the Alternative Investment Market from 26 February, when Tavistock’s total issued and voting share capital will comprise 289,615,305 ordinary shares of 1p each.
peter.walker@ft.com
