Technology

Posted on July 11, 2019 by staff

Online fashion brand Sosandar raises £7m through new shares

Technology

Online fashion brand Sosandar has raised £7m through the sale of new shares.

Founded in 2016 by former Look magazine editor Ali Hall and ex-publishing director Julie Lavington, the firm has reported a 268 per cent increase in gross profits to £2.44m for the year to March.

At the beginning of the month the firm also reported that its annual revenue had tripled.

The firm placed approximately 46.7 million shares at 15 pence per share.

The placing comprises of a firm placing of 22.7 million shares with a further placing of 24.0 million shares, conditional on shareholder approval.

The firm said the equity was sought to support the working capital expenditure in the business, which includes widening its product range, working with new suppliers and committing further spending on customer acquisition.

“We are very pleased to have successfully raised £7 million through a significantly oversubscribed placing, with both new and existing shareholders showing their support for the business and our growth plans,” commented the co-founders.

“Our strong financial performance and high level of repeat orders demonstrates the demand for our products and loyalty of our existing customer base.

“We have considerable momentum in the business which we are excited to build on going forward.

“Several opportunities are in the pipeline which will further improve the Sosandar shopping experience and build awareness of the brand to new customers.

“We look forward to updating all shareholders on our progress in due course.”