Australia's L1 Group targets raising $214 million to fuel growth, expansion

MFF Capital Investments

28/10/2025 23:31

Oct 29 (Reuters) - Australia's L1 Group L1G.AX said on Wednesday it was seeking to raise up to A$330 million ($214.43 million), as it bids to accelerate growth initiatives including investing in new affiliates and joint ventures.

The raising would comprise an A$286 million placement, an A$25 million share purchase plan and an A$19 million sale of its shares held by a unit.

These would be conducted at a price of A$0.95 apiece, reflecting a near 8% discount to the stock's last close.

The company said A$190 million worth of pre-commitments have been received for the placement from a few institutional investors. This includes A$80 million from MFF Capital Investments.

Proceeds from the raising would fund the company's growth strategy, provide investment for a plan that is supposed to be launched in the near term. Around A$100 million of the proceeds will be co-invested into this new strategy which has recently been offered to wholesale clients for the first time.

The fundraising would continue to push in capital for the firm's expansion, it said.

Alongside, L1 Group also announced the appointment of Julian Russell as its chief executive officer and managing director, replacing Jeff Peters.

Russell was previously the CEO of ASX-listed Eclipx Group, renamed FleetPartners FPR.AX, and is the former co-head of financial institutions at UBS Investment Bank in Australia.

($1 = 1.5389 Australian dollars)

 (Reporting by Rishav Chatterjee in Bengaluru; Editing by Maju Samuel)

 ((Rishav.Chatterjee@thomsonreuters.com))