Mercia Asset Management PLC (AIM: MERC), the proactive, regionally focused specialist asset manager, announces that it has entered into a conditional agreement to acquire the venture capital trust (“VCT”) fund management business of NVM Private Equity LLP for a total maximum consideration of up to £25 million, comprising a combination of cash and new ordinary shares in the capital of Mercia.
Mercia also announces the successful completion of their proposed Bookbuild, where the Company has conditionally placed 120,000,000 Ordinary Shares at the Placing Price of 25 pence per Ordinary Share, raising gross Placing proceeds of £30 million.
Mark Payton, Chief Executive Officer of Mercia Asset Management PLC commented:
“We are delighted by the support for the Placing and, in particular, are pleased to welcome a number of new shareholders to Mercia. The proceeds will enable Mercia to fund the initial cash consideration of the acquisition of three NVM Venture Capital Trust (“VCT”) fund management contracts from NVM Private Equity LLP and provide further balance sheet growth capital. We are committed to delivering value for our shareholders and look forward to updating on our progress in due course.”
N+1 Singer are acting as Joint Bookrunner and Joint Broker to Mercia Asset Management alongside Canaccord Genuity.
About Mercia Asset Management PLC
Mercia is a proactive, specialist asset manager focused on supporting regional SMEs to achieve their growth aspirations. Mercia provides capital across its four asset classes of balance sheet, venture, private equity and debt capital; the Group’s ‘Complete Capital Solution’. The Group initially nurtures businesses via its third-party funds under management, then over time Mercia can provide further funding to the most promising companies, by deploying direct investment follow-on capital from its own balance sheet.
Mercia has c.£500million of assets under management and, since its IPO in December 2014, has invested c.£90million across its direct investment portfolio.
Market Cap: £84 million*
Website: Click here
*As at 04/12/2019
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