Flooring distributor Likewise is to accelerate its product, sales and marketing initiatives after raising more than £27m in new funding.
New and existing shareholders have invested a net £27.2m (after fees of about £3.3m) in new shares.
‘This combined with support from our principal bankers provides the group with sufficient capital to maximise the various opportunities in the UK flooring market. Whilst we have referenced an exciting future previously, this capital really propels the group forward with the opportunity to create a significantly larger business,’ Tony Brewer, Likewise chief executive told colleagues.
‘The next step is to acquire the freehold of a new
distribution Hub in Corby in the East Midlands which will be operational in January 2027. This, combined with the extensions at Newport and Derby, creates 50% more storage, cutting and processing capacity.
‘We have a clear plan on how to meaningfully enlarge our Logistics Infrastructure over the next three years and we will accelerate the product, sales and marketing initiatives.’
The issued shares represent 42.3% of the group’s shares before the fundraising. The shares were issued at a 14.9% discount, and the offer was oversubscribed leading it to being expanded.
Following the issue of the new shares, Brewer will
hold a 7.7% shareholding in Likewise; Andrew Simpson, non-executive director 3%; Adrian Laffey, residential director 2.1% and Paul Bassi, chairman 1.4%.
Shareholders are expected to rubberstamp the fundraising on 14 August.
‘We are delighted by the strength of demand, which saw the fundraising oversubscribed, and are pleased with the level of support from our existing shareholders and are delighted to welcome a number of new investors to the register who share our vision for the business in
its next stage of growth. We trust that the retail offer provides other shareholders the opportunity to participate also,’ says Brewer.
