The majority of Mitie's shareholders have voted to approve the rights issue which is a key step in its acquisition of Interserve announced last month.
Following a general meeting this week, the resolution to authorise Mitie’s directors to allot ordinary shares in connection with the rights Issue, announced on 25 June 2020, was passed.
The total number of votes cast was 264,946,832 representing 70.90 per cent of Mitie’s issued share capital.
The acquisition of Interserve’s facilities management business is conditional on, inter alia, the approval of Mitie’s shareholders, according to the company.
Phil Bentley, CEO, Mitie, said: “The rights issue has received substantial support from our shareholders, with over 99 per cent of shareholders who voted, voting in support of the rights issue. We have demonstrated that our strategy is making solid progress. With the first phase of our transformation complete, the move in to Phase II, accelerated value creation, is already cementing our market leadership positions.
“These additional funds will strengthen our balance sheet against an extended COVID-19 impact and enable us to secure our bank refinancing. In addition, these funds are intended for use in the proposed acquisition of Interserve’s facilities management business. Completion of the rights Issue and the securing of our bank refinancing will ensure we are in a strong position to weather any potential future turbulence and provide a platform for future growth.”
Image credit | Mitie