(Alliance News) - Racing Force Spa announced Wednesday that the EUR7.5 million capital increase launched yesterday through accelerated bookbuilding was fully subscribed at EUR4.43 per share.

In detail, Axon Partners Group Investment subscribed EUR5 million while Bahrain Mumtalakat Holding Co. BSC committed EUR2 million. Both have made lock-up commitments with the company of 180 days.

After the aucap, SAYE Spa will continue to be the major shareholder of Racing Force, with a 49.5 percent stake. The company's new capital is EUR2.74 million, divided into 27.4 million ordinary shares.

The capital increase is aimed at supporting the company's business development and expansion plan, also in light of the strong growth recorded in recent years. Specifically, RFG has signed with Bahrain International Circuit Company WLL, operator of the motor racing circuit that hosts the Formula 1 Bahrain Grand Prix and owner of the land adjacent to the circuit, a binding commitment concerning the lease of a new factory, to be built by BIC, intended for the development and production of some of the group's products.

The transaction will enable the group to increase the efficiency of production processes of some products, which are considered strategic, with positive impacts on overall margins.

The capital increase is also functional, on the one hand, to increase the free float and liquidity and, on the other hand, to expand the shareholder base to leading international institutional investors.

Paolo Delprato, president and CEO of Racing Force Group, said, "Starting at the end of 2022, we are committed to an ambitious development plan that will lead Racing Force Group to significant growth in the coming years. The increasing success of our products in Motorsport, which has been confirmed again this year, will be significantly complemented from next year by the results of our diversification projects. Then, from 2026, we will start full-scale operation of the second factory in Bahrain, which will further boost the group's growth, mainly in terms of margins."

"Since the acquisition of Bell in 2019, the relationship with the Kingdom of Bahrain has been very strong. We have found ideal conditions for doing business, with extremely qualified interlocutors. Having launched this new project in the Kingdom, with the support moreover of Bahrain International Circuit and leading investors such as Axon and Mumtalakat, Bahrain's sovereign wealth fund, further strengthens our plan for growth in both the short and medium to long term."

"The investment in Bahrain will be of total support to all the group's other locations, which will remain central to the growth project, as will the total commitment from all the group's top managers and SAYE, Racing Force Group's majority shareholder."

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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