Greater Manchester-based Revolution Bars Group plc announced its intention to raise gross proceeds of £21 million via discounted sale of stock at 20p per share.

finnCap and Peel Hunt are acting as joint brokers.

“To ensure the group is well-positioned to grow the business once its bars fully reopen, it is seeking to raise £21.0 million in order to reduce the group’s indebtedness, accelerate its existing site refurbishment programme and to take advantage of favourable market conditions for estate expansion …” said Revolution.

“£20.0 million will be raised through the firm placing of 100,000,000 new ordinary shares at the issue price of 20 pence per new ordinary share …

“A further £1.0 million (approximately) will be raised through the placing of 5,001,866 new ordinary shares at the issue price to qualifying shareholders, subject to clawback to satisfy valid applications under the open offer …

“The issue price represents a discount of approximately 41.2 per cent. to the closing price of an ordinary share on 24 May 2021, being the latest practicable date prior to this announcement, and a discount of approximately 27.8 per cent. to the volume weighted average price of an ordinary share for the 90 day period to 24 May 2021 …

“The board intends to invest, in aggregate, £137,500 in the fundraising.”