(CercleFinance.com) – Avenir Telecom jumped more than 18% on Wednesday on the Paris Stock Exchange after announcing the end of the use of financing by OCABSA as well as a change in its shareholding.
With a cash position of more than 25 million euros, the designer and distributor of mobile phones and accessories under the Energizer brand now believes that it has sufficient financial resources.
Its decision means that the financing line in the form of bonds convertible into shares with equity warrants (OCABSA) concluded with Negma Group Investment will expire at its end, in October 2023, without giving rise to new drawdowns. .
In a recent study, the Euroland Corporate teams pointed out that recourse to financing by OCABSA ‘constitutes a high-risk instrument which only too rarely presents value-creating efficiency’.
This mechanism leads to a strong dilution of existing shareholders and the rapid sale of new shares on the market causes, in most cases, strong downward pressure on the stock market price.
Avenir Telecom had set up this line of financing in 2020 for the benefit of the company Negma Group Investment, which led it to carry out six drawdowns in total, for a cumulative gross amount of five million euros.
As of February 1, Negma held just over 24% of the capital and voting rights.
At the same time, Robert Schiano, CEO and co-founder of Avenir Telecom, says he has acquired more than 2.1 million shares for a total amount of 233,000 euros.
The leader, who has thus increased his stake to 3.2% of the capital against 0.01% previously, ensures that he intends to continue his strategy of buying back shares.
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