R&Q raises £100m in capital to fund growth and replenish liquidity

Non-life insurance and investment specialist Randall & Quilter Investment Holdings (R&Q) raised gross proceeds of approximately £100 million to support the development of its  programme management business, and assist in maintaining the AM Best credit and financial strength ratings of the accredited companies.

The capital is raised through an oversubscribed placing of new ordinary shares to investors, with R&Q proposing to raise a further £7 million by way of an open offer of new ordinary shares to qualifying shareholders.

R&Q said the placing and open offer is conditional upon the passing of certain resolutions. The placing shares represent approximately 52 percent of the issued ordinary share capital of R&Q prior to the placing.

Ken Randall, group chairman and chief executive officer, said: "We are very pleased to have raised these additional funds and are encouraged by the support received from new investors and existing shareholders.

"The proceeds from this placing and also the open offer will be used to support the development of our program management business and assist in maintaining the AM Best credit and financial strength ratings of the accredited companies."

Randall added: "The proceeds will also replenish liquidity used or allocated to previously announced legacy acquisitions and will help to rebalance our equity/debt funding mix. R&Q is reaping the benefits of our transformation last year into a more focused business operating in two fast growing markets: program underwriting and legacy M&A.

"This transformation continues as [we] are expanding our resources, hiring talent and restructuring to ensure we are best placed to serve our customers. With the support of shareholders and our recent debt issuance we will have greater capital firepower to support our strategy.”

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