Shares of Greater Manchester-based Revolution Bars Group plc fell about 30% on Wednesday after it completed a deeply discounted sale of stock at 20p per share in placings to raise gross proceeds of £21 million.

Revolution Bars CEO Rob Pitcher said: “Thanks to the support of our shareholders and new investors, this successful fundraising will allow Revolution Bars to emerge from this period of disruption in a strong position with a fit for purpose balance sheet which provides us with ongoing financial flexibility and an excellent platform from which to deliver for all our shareholders. 

“We now have the firepower to deliver strong proven returns from the refurbishment of the remainder of our uninvested bars and the ability to take advantage of opportunities that undoubtedly will arise from a very dislocated market.

“We have traded outstandingly since the initial restrictions have been lifted.

“We are now looking forward to the end of all restrictions and are excited about the next part of the journey delivering best in class entertainment and hospitality to our guests.”

Revolution said: “Subject to, inter alia, the necessary resolutions being passed at the general meeting which is to be held on 14 June 2021, in aggregate, 105,001,866 new ordinary shares are to be issued pursuant to the firm placing and the placing and open offer, at an issue price of 20 pence per new ordinary share, raising gross proceeds of approximately £21 million (approximately £19.9 million net of expenses).

“The 105,001,866 new ordinary shares to be issued pursuant to the Firm Placing and the Placing and Open Offer will result in the issued share capital of the company increasing to 230,048,520 ordinary shares (assuming no other new ordinary shares are issued between now and admission).

“The new ordinary shares will represent approximately 45.64 per cent. of the enlarged share capital of the company immediately following admission.”