Rosebank Industries raises £1.14 billion in capital

Published 06/06/2025, 15:42
Rosebank Industries raises £1.14 billion in capital

LONDON - Rosebank Industries PLC announced today that it has successfully completed an institutional capital raise, securing approximately £1.14 billion through the issuance of 380 million new ordinary shares at a price of £3.00 per share. The funds raised are earmarked to finance the acquisition of ECI, a private U.S.-based company specializing in critical electrical distribution systems.

This capital raise follows an earlier announcement detailing Rosebank’s agreement to purchase ECI. The acquisition is part of Rosebank’s strategic "Buy, Improve, Sell" approach and is to be funded through a combination of debt facilities and the capital raised from institutional investors.

Trading of the company’s existing ordinary shares will remain suspended on the AIM market of the London Stock Exchange (LON:LSEG) until the admission document is published, which is expected around June 11, 2025. The new ordinary shares are anticipated to be admitted to trading on July 3, 2025, following the approval of transaction resolutions by Rosebank shareholders at a general meeting scheduled for July 1, 2025.

The completion of the ECI acquisition is projected for the third quarter of 2025. Upon completion, Rosebank plans to cancel the admission of the ordinary shares and apply for readmission of the enlarged group in accordance with AIM Rule 14.

Simon Peckham, Chief Executive of Rosebank, expressed gratitude to shareholders and lending institutions for supporting the company’s inaugural acquisition. He highlighted the potential for ECI to enhance profitability and deliver strong returns for shareholders, leveraging Rosebank’s market position and the management expertise of ECI.

The transaction also involved related party transactions with BlackRock Inc (NYSE:BLK)., a substantial shareholder, participating in the capital raise under the same terms as other investors. The company’s directors, after consulting with Investec (LON:INVP) Bank PLC, their nominated adviser, deemed the terms of the capital raise to be fair and reasonable to shareholders.

This announcement is based on a press release statement and contains no promotional material or subjective assessments. The admission of the new ordinary shares is subject to shareholder approval and other customary conditions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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