Liberum acts as NOMAD and Sole Bookrunner on Volex plc's £36m placing
We are pleased to announce that Liberum has successfully raised £36m through the placing of 48m shares in Volex at 75p with new and existing institutional investors.
Volex is a global provider of electrical and optical connection solutions and has recently moved from the Premium Segment of the Main Market to AIM in January 2018 as part of its new long-term strategic plan to develop new markets through acquisitions and joint venture arrangements with strategic partners.
The Company’s will use the £36m proceeds (at current FX rates) for the following:
- c.$20m for the acquisition of Silcotec Europe (cable assembly manufacturer), further diversifying the customer base and consolidating the fragmented Cable Assemblies market;
- c.$20m over-equitisation adds to a net cash position generating greater firepower for deployment in further deals and reduces reliance on previously restrictive banking facilities; and
- c.$10m is earmarked for internal investment
– we expect c.$3m of incremental capex to invest in automation with the balance going into working capital to support organic growth opportunities with a prominent EV manufacturer and Dyson.
The Placing is conditional on shareholder approval at a General Meeting of the Company to be held on 4 June 2018, with admission of the Placing Shares to take place on 5 June 2018.
Liberum acted as NOMAD and Sole Bookrunner on the placing.
Liberum Team
Investment Banking – Steve Pearce, Euan Brown, Laura Hamilton
Sales – Oliver Baxendale, Julian Collett, Tim Mayo
Research – Rory Smith
Execution – Graham Smith, Mark O'Hara
Corporate Access – Marcio Remedios
Press Enquiries: Redleaf Polhill
Email: liberum@redleafpr.com
Call: +44 (0)20 7382 4747
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LinkedIn: Liberum
