Independent News & Media says it has raised €29.3m from a placing of more than 50 million new shares with institutional investors at a price of 58 cent.
The company will use around €29m of the money raised to pay off most of a €36m loan facility put in place as part of the group's restructuring late last year. The loan facility has an interest rate of 25% a year, and Independent says there will be savings of around €7m a year as a result of the repayment.
The group cut its recourse net debt to €543m by the end of June this year, and says there will be a further significant reduction by the end of this year.
The new shares will represent just under 10% of the company and are being placed at a price slightly below yesterday's close of just over 60 cent.
INM shares closed 2.3% lower at 59 cent in Dublin this evening.
