# INTERVIEW: Wey Education Plc Fundraise and Possible acquisition

- Link: https://www.directorstalkinterviews.com/interview-wey-education-plc-fundraise-possible-acquisition/412740002
- Published: 2017-11-15T12:19:38+00:00
- Author: Giles Arbor

**Wey Education Plc** (LON:WEY) Chairman David Massie talks to DirectorsTalk about
it’s recent fundraise and a possible acquisition. David expands on the fundraising,
explains why the price was discounted and no open offer, what the funds will be 
used for, further areas of marketing, the types of marketing we can expect and what
other news we can expect in the coming months.

 

Further to the accelerated bookbuilding process announced earlier today, Wey Education
is pleased to announce that it has raised gross proceeds of £5 million through a
significantly oversubscribed and scaled back placing (the “Placing”) with institutional
and other investors of 22,727,273 new ordinary shares (the “New Ordinary Shares”)
at a price of 22 pence per Placing Share (the “Placing Price”). The Placing Price
represents a discount of 33.3 per cent. to the closing price on 14 November 2017,
the last trading day prior to this announcement, and a discount of approximately
7.1 per cent. to the average closing price of the last 30 trading days. The New 
Ordinary Shares will represent approximately 18 per cent. of the Enlarged Issued
Share Capital on Admission (assuming no other issuance of ordinary shares prior 
to Admission).

The proceeds of the Placing will provide additional working capital resources to
the Group and subject to completion of the acquisition, fund the consideration earn-
out (if any) in respect of the possible acquisition detailed in the Company’s earlier
announcement today. A further announcement will be made about such in due course.

Application for admission to trading on AIM for the 22,727,273 New Ordinary Shares
being issued pursuant to the Placing has been made and Admission is expected to 
take place on 20 November 2017. The New Ordinary Shares will rank pari passu with
the existing Ordinary Shares in issue.

In accordance with the provisions of the Disclosure Guidance and Transparency Rules
of the Financial Conduct Authority, the Company confirms that, following the Placing,
its issued share capital will comprise 126,270,507 Ordinary Shares of 1 pence each.
All of these Ordinary Shares have equal voting rights and none of the Ordinary Shares
are held in Treasury. The total number of voting rights in the Company will therefore
be 126,270,507 on Admission.

> **Wey Education’s Chairman, David Massie, said:** “We are very happy to have concluded
> this placing and to have attracted a number of significant institutional investors
> who we hope and trust will support the Company in the long term as we pursue our
> plan to build Wey into a leading international educational services provider. 
> The additional working capital provides the board with the confidence to pursue
> a number of new initiatives particularly regarding increased marketing in the 
> UK and overseas, which we hope will generate substantial returns over the medium
> term. Negotiations regarding the proposed acquisition continue and we will make
> a further announcement regarding such in due course.”

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