Capital for Colleagues (C4C) raised £1.95m to fund investments as the company reported higher profit and asset values.
In the year to the end of August, the company’s net asset value rose 32.3% to 69.71p a share. Pretax profit increased to £2.3m from £1.6bn as the company made a £2.4m fair value gain on investments compared with £1.7m a year earlier.
C4C invest in employee-owned businesses. It said all its investments had coped well with the pandemic, leading to higher valuations. C4C said employee ownership had underpinned the businesses’ strong performance.
The company placed 3.05m shares with investors at 64p a share – 6% more than the closing price on 8 December. All of C4C’s directors took part in the placing, which raised £1.95m before costs.
Alistair Currie, C4C’s chief executive, said: “We are delighted to have successfully completed the placing and are particularly pleased with the strong support from existing shareholders and new investors in the company. We believe that this support, and the progress shown by our results announced earlier today, reflect the robustness of our strategy, the quality of the companies in our portfolio and the recognised investment potential of the [employee-owned] sector.”
