Boohoo Shares Dip: Raises Approximately £39.3 Million

Online fashion retailer Boohoo Group (LON: BOO) revealed Monday that it has successfully raised approximately £39.3 million through a combination of a placing, subscription, and retail offer.

The company said in an update that the retail offer, which launched on November 14th, raised around £0.4 million. To meet the demand for the retail offer, a portion of the shares allocated to the placing and subscription was clawed back.

The Retail Offer will result in the issuance of approximately 1.25 million retail offer shares at a price of 31p per share.

The newly issued shares are expected to start trading on AIM on November 26th.

Following the announcement of the successful fundraising, Boohoo's share price declined Monday, currently down around 1.3%, trading near the 29.6p mark.

On Friday, Manchester Evening News reported that several roles at Boohoo were culled on Thursday, “with the struggling fashion retailer set to make a number of redundancies in Manchester.”

The publication said it believes that at least 25 roles would be lost within the company's Merchandising and Buying team, with some other roles also set to be cut within the Project Delivery Team,

Boohoo told the Manchester Evening News: “Following a review of business operations, we have made the difficult decision to change the structure of some of our teams, which has affected some roles.”