Rights issue reduces Rangers' debt

Rangers FC have raised €71.3m through a rights issue, making a significant dent in the Scottish side's €106.9m debt.

Ambitious target
Chairman David Murray had hopes to raise €82.4m, with the remainder coming from existing and new shareholders, but the final amount fell short of this target. Nevertheless Murray, who now owns 91.8 per cent of the issued share capital, was more than happy with the reaction to his initiative.

'Firm financial footing'
"I am delighted by this response," Murray said. "It was our intention to have a share issue that was open to all our shareholders and supporters. The number of existing and new shareholders that have subscribed means that we have achieved this objective. Collectively we have created a firm financial footing for the future of our club."

Additional shares
Murray MHL Limited, a company controlled by Murray, took its rights to 11,785,479 and subscribed for a further 38,489,521 shares at a total cost of €72.7m. A number of existing shareholders applied for additional shares, and the rights issue also succeeded in attracting 1,263 new shareholders, raising a further €444,587.

'Strong support'
"The success of the fundraising was guaranteed by MHL underwriting the issue, but the investment by over 4,500 subscribers demonstrates strong support for this initiative," Murray added.