Oxford Catalysts raised £30.6m through a share placing yesterday of 24.4m shares at 125p per share. It is good news that it has raised £30.6m at this stage in its evolution into a fully commercial proposition and that it now has “several new institutional investors and a new strategic investor”.
What does annoy me however, is that existing shareholders, many of whom have supported the Company through its development stage were not given the opportunity to participate, especially at such an attractive discount to the prevailing share price. A rights issue of say 2 for 7 at 125p would have raised about £32m and given all existing shareholders an opportunity to participate.
In the long run it does not change the investment case for Oxford Catalysts but it’s just a little irritating!
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