REG - RentGuarantor Hldgs - Conditional Subscription for approximately £2.5m

Rentguarantor HoldingsAnnouncement

Today 07:00

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RNS Number : 5796G  RentGuarantor Holdings PLC  07 November 2025

 

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN, IS RESTRICTED AND IS
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR
INDIRECTLY, IN, INTO OR FROM THE UNITED STATES, CANADA, JAPAN, AUSTRALIA, THE
REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD
CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT
JURISDICTION. THIS ANNOUNCEMENT SHOULD BE READ IN ITS ENTIRETY. FURTHER
DETAILS OF THE FUNDRAISING ARE SET OUT BELOW.

 

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND SHALL NOT CONSTITUTE AN
OFFER TO SELL OR ISSUE OR THE SOLICITATION OF AN OFFER TO BUY, SUBSCRIBE FOR
OR OTHERWISE ACQUIRE ANY NEW SHARES OF RENTGUARANTOR HOLDINGS PLC.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS DEFINED IN ARTICLE 7 OF THE
MARKET ABUSE REGULATION NO. 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY
VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED ("MAR"). UPON
THE PUBLICATION OF THIS ANNOUNCEMENT, SUCH INSIDE INFORMATION IS NOW
CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

7 November 2025

RentGuarantor Holdings PLC

 

(the "Company" or "RentGuarantor")

 

Conditional Subscription to raise approximately £2.5m

Total Voting Rights

Secondary sale of existing shares

 

RentGuarantor (AIM: RGG), a provider of rent guarantee services to prospective
tenants across the socio-economic spectrum wishing to rent property in the
UK(1) private rental sector, announces that it has conditionally raised
£2,543,254 (the "Subscription") by way of an issue of 20,346,034 new ordinary
shares of 10 pence each ("Ordinary Shares") at a price of 12.5p per new
Ordinary Share (the "Issue Price") by way of subscriptions ("Subscription
Shares"), with each Subscription Share being accompanied by one warrant to
subscribe for a new Ordinary Share.  The Subscription is conditional on the
receipt of funds, shareholder approval at a forthcoming general meeting and
admission to trading of the Subscription Shares to AIM and the issue of
warrants is also conditional on shareholder approval at the aforementioned
general meeting (see below).

 

Proposed use of Proceeds for the Subscription

 

The net proceeds raised for the Company through the Subscription are intended
to support the Company's growth and facilitate a wider marketing campaign, to
be strategically timed with the passage of the Renters' Rights Act, which
received Royal Assent on 27 October 2025. As indicated in the Company's
announcement of 18 July 2025 in relation to its move to AIM, RentGuarantor's
growth strategy for once the Renters' Rights Act has passed into law, includes
the following marketing activities:

 

·    Growing the awareness of the Group's rent guarantor service through
precisely targeted marketing campaigns aimed at key sectors and customers,
including students and their parents, private and corporate landlords, local
authorities and social housing providers, property agents, Build to Rent/later
life rentals/student accommodation specialists, charities and universities.

 

·    Create awareness that supports customer decision-making during the
rental process and drives new business leads directly to RentGuarantor,
through the use of the full spectrum of relevant consumer and B2B media types,
such as digital, broadcast, PR and key partnerships and events with relevant
media partners. This is intended to be combined with an in-person and online
education programme to support potential partners in understanding the process
and benefits of rent guarantees.

 

·    Further development of the Group's network of partners, which would
include insurance underwriters, in order to provide additional capacity and
operational comfort to the business to assist with the anticipated increase in
contract volumes.

 

The net proceeds will also, to a lesser degree, be utilised towards
maintaining the Company's working capital position as it grows.

 

Warrants

 

Once the Subscription becomes unconditional, the subscribers in the
Subscription will be issued with one warrant to subscribe for one new Ordinary
Shares for every Subscription Share, with each Warrant entitling the holder to
acquire one new Ordinary Share at a price of 17.5 pence at any time in the
one-year period from issue (the "Warrants"). Effective from issue, the
Warrants will contain an accelerator clause such that the Company may serve
notice ("Warrant Notice") on the Warrant holders to exercise their Warrants in
the event that the closing mid-market share price of the Company's Ordinary
Shares reaches 35p or more over a consecutive 14-day trading period. In the
event that the Company serves a Warrant Notice, any Warrants remaining
unexercised after seven calendar days following the issue of the Notice will
be cancelled.  The Warrants are non-transferable by the holders without the
prior consent of the Company.  The Warrants will be in certificated form and
none of the Warrants will be admitted to trading on AIM or any other stock
exchange.

 

General Meeting, Admission, Conditionality and Total Voting Rights

 

The issue and allotment of the Subscription Shares and the issue of the
Warrants is conditional, inter alia, upon the passing of resolutions to:

 

·    authorise the issue and allotment of the Subscription Shares

·    authorise the issue of the Warrants and any new Ordinary Shares
resulting from the future exercise of the Warrants; and

·    disapply pre-emption rights in respect of the above (together, the
"Resolutions").

 

The Resolutions will be put to shareholders of the Company at a general
meeting of the Company to be convened in due course (the "General Meeting"). A
circular including a notice convening the General Meeting and the date for the
General Meeting, will be sent to shareholders in due course and a further
announcement will be made to confirm this.

 

Application will be made for the Subscription Shares to be admitted to trading
on AIM ("Admission"). Admission is currently expected to become effective on
or around 28 November 2025.

 

The Subscription is conditional upon, the receipt of Subscription monies, the
Resolutions being duly passed at the General Meeting and Admission becoming
effective on or before 8.00 a.m. on 28 November 2025 (or such later time
and/or date as the Company may agree, but in any event by no later than 8.00
a.m. on 11 December 2025).

 

On Admission, the issued ordinary share capital of the Company will comprise
145,264,183 Ordinary Shares  with one voting right per share.  The Company
does not hold any Ordinary Shares in treasury. Therefore, on Admission, the
total number of Ordinary Shares and voting rights in the Company will be
145,264,183.

 

Following Admission, this figure may be used by shareholders in the Company as
the denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest in, the
share capital of the Company under the FCA's Disclosure Guidance and
Transparency Rules.

 

Secondary Sale of existing Ordinary Shares by Southpaw Ltd

 

Separate to the Subscription, Southpaw Ltd, a company controlled by Paul Foy,
RentGuarantor's CEO and Founder ("Southpaw"), has agreed to sell 2,180,000
existing Ordinary Shares at a price of 12.5p per existing Ordinary Share,
conditional on (i) the Resolutions being passed at the General Meeting, (ii)
any third party regulatory or tax consents or approvals necessary for the sale
being received on terms reasonably satisfactory to Southpaw, and such consents
and approvals remaining in full force and effect at Admission, and (iii)
Admission taking place.  A further announcement will be made, following the
General Meeting, to confirm the sale of these existing Ordinary Shares by
Southpaw Ltd.

 

 

To engage with this announcement on our Investor Hub, please use the following
link: https://investorhub.rentguarantor.com/link/Pm5BMP
(https://investorhub.rentguarantor.com/link/Pm5BMP)

 

For more information, please contact:

 

RentGuarantor Holdings PLC

Paul Foy, Chief Executive Officer

+44 207 193 4418

 

Allenby Capital Limited (AIM Nominated Adviser and Broker)

Alex Brearley / Nick Harriss / Ashur Joseph (Corporate Finance)

Amrit Nahal / Kelly Gardiner (Sales and Corporate Broking)

+44 20 3328 5656

 

BlytheRay (Financial PR)

Megan Ray

Will Jones

+44 207 138 3204

rentguarantor@blytheray.com

 

About RentGuarantor

RentGuarantor provides a rent guarantee service to tenants wishing to rent
property in the UK(1) (currently excluding Northern Ireland) from the Private
Rental Sector ("PRS"). It is an online service where applications are managed
on a secure and bespoke digital platform designed and built by the Company.
The goal is to make the process as simple as possible, with applications only
taking a few minutes and RentGuarantor seeking to complete the application on
the same day.

 

(1) Currently excluding Northern Ireland.

 

IMPORTANT NOTICES

 

Forward Looking Statements

 

This announcement includes statements that are, or may be deemed to be,
"forward-looking statements". These forward-looking statements can be
identified by the use of forward-looking terminology, including the terms
"believes", "estimates", "plans", "anticipates", "targets", "aims",
"continues", "expects", "intends", "hopes", "may", "will", "would", "could" or
"should" or, in each case, their negative or other variations or comparable
terminology. These forward-looking statements include matters that are not
facts. They appear in a number of places throughout this announcement and
include statements regarding the Directors' beliefs or current expectations.
By their nature, forward-looking statements involve risk and uncertainty
because they relate to future events and circumstances. Investors should not
place undue reliance on forward-looking statements, which speak only as of the
date of this announcement.

 

Notice to overseas persons

 

This announcement does not constitute, or form part of, a prospectus relating
to the Company, nor does it constitute or contain any invitation or offer to
any person, or any public offer, to subscribe for, purchase or otherwise
acquire any shares in the Company or advise persons to do so in any
jurisdiction, nor shall it, or any part of it form the basis of or be relied
on in connection with any contract or as an inducement to enter into any
contract or commitment with the Company.

 

This announcement is not for release, publication or distribution, in whole or
in part, directly or indirectly, in or into Australia, Canada, Japan or the
Republic of South Africa or any jurisdiction into which the publication or
distribution would be unlawful. This announcement is for information purposes
only and does not constitute an offer to sell or issue or the solicitation of
an offer to buy or acquire shares in the capital of the Company in Australia,
Canada, Japan, New Zealand, the Republic of South Africa or any jurisdiction
in which such offer or solicitation would be unlawful or require preparation
of any prospectus or other offer documentation or would be unlawful prior to
registration, exemption from registration or qualification under the
securities laws of any such jurisdiction.  Persons into whose possession this
announcement comes are required by the Company to inform themselves about, and
to observe, such restrictions.

 

This announcement is not for publication or distribution, directly or
indirectly, in or into the United States of America.  This announcement is
not an offer of securities for sale into the United States.  The securities
referred to herein have not been and will not be registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the
United States, except pursuant to an applicable exemption from registration.
No public offering of securities is being made in the United States.

 

General

 

Neither the content of the Company's website (or any other website) nor the
content of any website accessible from hyperlinks on the Company's website (or
any other website) or any previous announcement made by the Company is
incorporated into, or forms part of, this announcement.

 

Allenby Capital, which is authorised and regulated by the FCA in the United
Kingdom, is acting as nominated adviser and broker to the Company. Allenby
Capital will not be responsible to any person other than the Company for
providing the protections afforded to clients of Allenby Capital or for
providing advice to any other person in connection with the Subscription.
Allenby Capital has not authorised the contents of, or any part of, this
announcement, and no liability whatsoever is accepted by Allenby Capital for
the accuracy of any information or opinions contained in this announcement or
for the omission of any material information.

 

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