Result of Placing

RNS Number : 4287A

Belvoir Lettings PLC

07 June 2016

 

THIS ANNOUNCEMENT (INCLUDING THE APPENDIX) AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN, INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SINGAPORE, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

FURTHER, THIS ANNOUNCEMENT IS MADE FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE AN OFFER TO SELL OR ISSUE OR SOLICITATION TO BUY, SUBSCRIBE FOR OR OTHERWISE ACQUIRE SHARES IN BELVOIR LETTINGS PLC IN ANY JUSRISTICTION IN WHICH ANY SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL.

For Immediate Release                                                                                                                                      7 June 2016

BELVOIR LETTINGS PLC

(the "Company" or "Belvoir") 

Results of Placing

Pursuant to the announcement released this morning at 7.00 a.m. (the "Placing and Acquisition Announcement"), the Company is pleased to announce that Cantor Fitzgerald Europe, on behalf of the Company, has successfully placed 2,232,143 new Ordinary Shares (the "Placing Shares") at a price of 112 pence per share (the "Placing"), representing a 4.3 per cent. discount to the closing price on 6 June 2016 (being the day prior to this announcement), with new and existing institutional investors, raising gross proceeds of approximately £2.5 million. The Placing Shares will represent approximately 6.6 per cent of the Company's enlarged share capital.

Cantor Fitzgerald Europe acted as nominated adviser, sole bookrunner and broker in connection with the Placing.

Application has been made for the 2,232,143 Placing Shares to be admitted to trading on AIM. Subject to the Placing Agreement not having been terminated in accordance with its terms, it is anticipated that admission of the Placing Shares will occur at 8.00 a.m. on or around 8 June 2016. The Placing Shares will be credited as fully paid and rank pari passu with the Existing Ordinary Shares.

Related Party Transaction

Hargreave Hale Limited and Miton Asset Management are considered Substantial Shareholders under the AIM Rules and are subscribing for 377,401 and 178,571 Placing Shares respectively in the Placing, conditional on Admission. Their Placing participation constitutes related party transactions under Rule 13 of the AIM Rules. The Directors consider that, having consulted with Cantor, the terms of their participation in the Placing are fair and reasonable insofar as Shareholders are concerned.

Defined terms used in this announcement will have the meaning set out in the Acquisition and Placing Announcement.

For further details:

Belvoir Lettings PLC Mike Goddard, Chairman and CEO Louise George, Finance Director	01476 584900 [e-mail]
Cantor Fitzgerald Europe Rick Thompson, Phil Davies, Will Goode, Michael Reynolds Corporate Finance	0207 894 7000
Buchanan Charles Ryland, Victoria Watkins, Madeleine Seacombe	0207 466 5000

Note to Editors:

About Belvoir Lettings PLC

Founded in 1995, Belvoir is one of the UK's largest specialist property franchises, with 215 outlets nationwide.

Since listing on AIM in February 2012 (BLV.L), Belvoir has continued to diversify its core business offer in lettings by broadening into property sales. Operating from its Central Office in Grantham, Lincolnshire the Group now offers a range of specialist services in property rental, property management, residential lettings, buy to let and property sales.

Belvoir's core revenue is derived from Management Service Fees (MSF); a reliable recurring revenue model which allows the Group to offer franchisees significant support and advice.

In 2015 Belvoir launched its multi-brand franchising strategy; acquiring Newton Fallowell Ltd, an East Midlands-based network of 31 outlets in July 2015 and Goodchilds Estate Agents and Lettings Limited, a West Midlands-based network of 14 outlets in October 2015.

Belvoir continues to grow organically by delivering award winning service, prioritising franchisee recruitment and supporting franchisee acquisitions. In recognition, the Group was awarded the "Best Lettings Agency Franchise Award" at the 2015 Agency of the Year Awards for the fifth time since the awards started six years ago.

The Company remains committed to diversifying its brand portfolio, utilising Belvoir's strong franchising expertise and infrastructure, in order to capitalise on an increasing target market.

 

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