SVB Holdings has revealed plans for a £75.5m rights issue in a bid to fuel further expansion and curb underwriting losses.
The specialty lines insurance group said the proceeds would be used to fund the expansion of its UK mid-sized commercial lines business, Fusion. In addition it said it would use the proceeds to, "take advantage of the very favourable current market conditions".
In a statement, SVB said it proposed a firm placing and open offer of 85,806,264 new SVB ordinary shares at 44 pence each. The open offer is on the basis of 15 new shares for every 34 shares held.
The placing and open offer has been underwritten by Hoare Govett.
