Shares in listed law firm Ince halve after £12m placing
Shares in listed law firm Ince Group plunged nearly 50 per cent today after the firm raised £12m via a share placing.
The firm’s share price plunged 47 per cent today on the placing at 45p, falling from 89p at yesterday’s close to 47p today.
Ince – formerly Gordon Dadds – became the second English law firm to go public when it listed in 2017.
Last January the firm used its financial firepower to buy the UK business of the much larger shipping and insurance law firm Ince & Co which had been in the doldrums for years.
Read more: Shares plunge in listed law firm Gordon Dadds following £10m placing
The firm raised £10m shortly after that acquisition with chief executive Adrian Biles saying at the time that it was raising money to undertake further acquisitions.
“We used our cash and we now want to reload,” he said.
Biles said today’s fundraising “marks the completion of the Ince merger”.
He said: “The Ince transaction was in two parts: the UK business was acquired in December 2018; and the overseas offices joined the group in April 2019. The closer overseas integration has completed the establishment of the platform as an international brand, with a world class offering.
Read more: Shares in law firm Gordon Dadds resume trading following Ince & Co merger deal
“The funds raised will ensure that the group can continue to capitalise on market opportunities, including new lateral hires.”
Biles said the low offer price was “an unfortunate feature of the current market conditions”.
The group’s share price has fallen 65 per cent from August last year when it stood at 136p.
In its results for the six months to 30 September the firm posted revenue of £45m and adjusted profit before tax of £4m.