Nucleus chief executive David Ferguson says the debt owed by the firm was “slightly more” than £3m but he refused to disclose an exact figure.
According to Ferguson the rights issue has been driven in part by IFA shareholders who want the three-year old company to have a cleaner capital structure.
He says the firm would look to raise the money through existing shareholders and was “very comfortable” that Sanlam was committed to the business.
He says: “A lot of the demand for the initiative has been driven by those shareholders so I’m not expecting any problems.”
Ferguson was unable to say where ex- business development director Philip Martin who left last week would re-emerge.
He says: “Last time I spoke to Philip which was a couple of weeks ago he wasn’t certain yet on his next move.”
Nucleus currently has £725m assets under management and Ferguson expects the firm to keep on growing, saying inflows are higher than they’ve ever been.
He says: ” We should do more than £50m in June and last week we did around £15m which apart from tax year end is our best ever week.”