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People Infrastructure (ASX:PPE) raises $17.6M to fund future purchases from COVID-19 pandemic
  • Workforce management company, People Infrastructure (PPE) is set to raise over $17 million through a placement and a share purchase plan
  • The proceeds will be used to fund future purchases that will come from the COVID-19 pandemic
  • The offer will issue approximately 16 million new fully paid ordinary shares for $1.10 each
  • There is currently no material impact to People Infrastructure from the coronavirus
  • People Infrastructure is up 23.6 per cent on the Easter weekend close, trading for $1.60 per share

Workforce management company, People Infrastructure (PPE) is set to raise $17.6 million through a placement and a share purchase plan.

The offer will issue approximately 16 million new fully paid ordinary shares for $1.10 each which is a 15.1 per cent discount to the previous close. The offer has been supported by a number of existing and new investors.

Money from the offer will be used to fund potential purchase opportunities that will emerge from the pandemic and will provide support to the balance sheet.

Managing Director Declan Sherman is pleased by the support received for the offer and says this reflects the market support for the company’s strategy.

"We are excited by the opportunity this extra capital will bring to make further attractive investments and acquisitions in subdued market conditions," Declan said.

"As one of the few companies in the market seeking investment opportunities over the next 12 months, we believe we will be well placed to make attractive acquisitions,” he added.

Declan said there is still a "significant amount of uncertainty" as to what the eventual impact of COVID-19 will be.

There is currently no material impact to People Infrastructure from the coronavirus.

"People Infrastructure believes that there should be a strong bounce back in demand once workforces resume a more stable pattern of operations," Declan added.

People Infrastructure is up 23.6 per cent on the Easter weekend close, trading for $1.60 per share.


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