Worcestershire-based AFH Group has increased its latest rights issue from £15m to £17.5m to meet investor demand.
Just two days after its latest acquisition announcement – confirming the purchase of Colchester adviser Britton Financial – the acquisitive financial planning and wealth management group upped its share issuance hours after an early stock exchange announcement.
Today’s issue is the second of 2017, following a fully subscribed £10m issuance in April.
Chief executive Alan Hudson says the news represented “resounding” market confidence in the group.
Hudson says: “All our current institutional investors have increased their stakes in the group, and we picked up a number of major new institutional investors with this issue.
“Following on the success of our last issue, we see this as demonstrating continuing confidence in the company and an endorsement of its strategy.”
AFH says the money raised contributes to a “war chest” with more than £20m ready to commit to merger and acquisition deals while also growing the client base organically through its UK-based team of 165 financial advisers.
Serving approximately 10,000 clients, with combined assets of roughly £2.7bn, the group has been listed on the Alternative Investment Market since 2014.