Investors back recruitment firm as £44m cash call completes

Staffline, the Nottingham-based recruitment and training giant, has successfully completed a £44m cash call to help it service its debt.

A total of 87,249,500 new ordinary shares of 10 pence each have been placed at a price of 50 pence per share to certain existing shareholders and new institutional investors.

Albert Ellis, chief executive officer of Staffline, said: “We are delighted to have received such a strong endorsement from both new and existing investors for this fundraising, which, coupled with our working capital refinancing will transform our balance sheet.

“The level of support for the transaction is testament to the turnaround, strategic progress and deep transformation delivered over the last year. This includes exiting non-core loss-making businesses and contracts as well as reducing the group’s headcount and infrastructure costs, whilst maintaining the highest levels of fulfilment for our blue-chip customers.

“The divisional leadership team have implemented substantial operational improvements and we are beginning to realise the benefits of this, in both the quality of the business we are winning and the talent we are attracting.

“We continue to see positive momentum in 2021 across the group and look forward to further capitalising on our market leading positions with the strong platform that this refinancing provides us.”