Hancock & Gore raises A$18.5 million via placement

Hancock & Gore Limited (ASX:HNG) has successfully secured commitments to raise A$18.5 million through a Placement at A$0.30 per share. The Placement, strongly supported by H&G Directors, management, and eligible shareholders, will be used to satisfy the upfront cash consideration for the acquisition of the United Kingdom-based Schoolblazer Limited and to bolster the balance sheet for future growth.

Executive Commentary on Placement and Acquisition

The successful completion of the A$18.5 million Placement demonstrates the strong support and confidence in our strategic direction, as evidenced by the backing from our Directors, management, and eligible shareholders. The funds raised will enable us to proceed with the acquisition of Schoolblazer Limited, a significant step in expanding our portfolio and enhancing shareholder value. We are pleased with the alignment demonstrated by the Schoolblazer vendors, who have chosen to receive a portion of the consideration in H&G scrip, indicating their belief in the potential of the combined entity post-merger.

Summary of Hancock & Gore's Placement and Acquisition of Schoolblazer Limited

Hancock & Gore's successful A$18.5 million Placement at A$0.30 per share reflects strong support from Directors, management, and eligible shareholders. The raised funds will be utilized to fulfill the upfront cash consideration for the acquisition of UK-based Schoolblazer Limited, providing financial flexibility for future growth. The alignment with Schoolblazer vendors, who will own an estimated 19.0% of H&G post-merger, signifies confidence in the combined entity. The acquisition of Schoolblazer Limited, a dominant retailer to UK large independent schools, presents an opportunity for H&G to expand its presence and drive shareholder value. The company aims to leverage this acquisition to strengthen its position in the market and deliver long-term benefits to its stakeholders.