Share placement as part of fit-out firm's refinancing operation is 43% oversubscribed

Ivan McKeever, chief executive of retail fit-out specialist Styles & Wood, has pointed to a bright future for the company after its effort to raise funds from investors was massively oversubscribed.

The share placement, which was 43% oversubscribed, was one plank of a refinancing deal that saw RBS take an estimated 20% stake in the company and its £17m debt-pile wiped out.

Ivan McKeever
McKeever: "testament to the financial restructuring… and is a vote of confidence in the new management team"

McKeever said: “I am delighted that the open offer has been so significantly oversubscribed. It is testament to the financial restructuring we have put in place and is a vote of confidence in the new management team, our prudent financial management to deal with the current economic cycle and our future strategy the business.

"We are confident that our retail customers will return to their store investment plans in the longer term, the recession won’t last forever and we are now well positioned to be a beneficiary of an up turn in the market place.

“With the refinance now behind us we very much look forward to getting on with driving the business forward from such a solid base.”

The overall refinancing deal is expected to be rubber stamped tomorrow at a shareholders' meeting. The refinancing will also see a share consolidation scheme, whereby 25 old 1p shares become one new share worth 25p. The new shares will start trading on AIM on Monday.