No, this is not a repeat of our last Safestyle UK report – the group really has yet again seen its shares shed over half as the price at noon today fell below two pence to 1.79p.
The group issued a ‘Stakeholder Engagement Update’ this morning, saying it is working with shareholders and third party investors to secure a cash injection, adding that a number have expressed interest in investing in the group.
It added: “These discussions with both existing shareholders and other third parties have been productive and remain ongoing. In order to achieve a working capital injection, which will not be in the form of an equity placing, an alternative financing structure that realises the aims stated above is currently being sought.
“…the Group expects its year-end net debt to be between £5.5m and £6.5m. At this point and into early January 2024, the full revolving credit facility with the Group’s bank (the “RCF”) will be required to support the working capital and liquidity requirements of the business.”
The group’s fundraising efforts had been forecast by city watchers two weeks ago after the group announced its intention to engage with shareholders to alleviate its woes https://www.the-glazine.com/?p=10436
