Law Debenture Corporation Issues New Shares
Why we think this is good
The equity raise by Law Debenture Corporation appears to be a positive development. The raise is at a very small discount of only 0.12% to the previous closing price, suggesting good investor appetite for the company's shares. The relatively small size of the raise, representing just 0.019% dilution, is also a positive sign. While the specific purpose of the raise is not explicitly stated, it does not appear to be a last resort funding, which would be a more concerning scenario. Overall, the details of the raise point to a measured and well-received transaction that should not significantly impact the company's valuation.
Key Points
- Law Debenture Corporation issued 25,000 new ordinary shares at £8.36 per share
- The raise price represents a 0.12% discount to the previous closing price of 837 GBp
- The raise amount is small, equating to 0.019% dilution of existing share capital
- The company has the ability to issue a further 10,985,000 ordinary shares under its block listing facility
Summary
The Law Debenture Corporation p.l.c. has issued 25,000 new ordinary shares at a price of £8.36 per share, representing a 0.12% discount to the previous closing price. The raise amount is relatively small, equating to only 0.019% dilution of the existing share capital. The purpose of the raise is not explicitly stated, but it does not appear to be a last resort funding. The company now has the ability to issue a further 10,985,000 ordinary shares under its block listing facility.