DP Poland raises £3.2m

DP Poland has raised £3.2m, gross, through a conditional placing of 6,667,000 new ordinary shares at 48 pence apiece.

The placing shares represent approximately 5.1% of the existing issued share capital and the price represents a discount of approximately 1.3% to the closing mid-market price of 48.625 pence last night.

The net proceeds are expected to provide the company with the funds required to open an additional 20 stores, over and above current market expectations, by 2020.

It is expected the proceeds will either be used to fund corporately-owned stores, or will be loaned to high-calibre store managers to enable them to open their own sub-franchised stores. The group's new target is to have 100 stores by 2020.

The group says it has continued to trade strongly in the third quarter of 2016 and is trading in line with market expectations in respect of the current financial year.