Online musical instrument retailer Gear4Music has raised £4.2 million with a placing on the stock market with plans to push international expansion.
The retailer issued 610,000 new shares at 690 pence per share, with a further 839,000 existing shares being sold by directors at a 1.9 per cent discount.
The money raised will reportedly be put towards the pushing the Yorkshire based retailer‘s multilingual resources and offerings in Germany and Scandinavia.
Some of the funds will also be put towards developing its bespoke IT platform and its new UK head office.
READ MORE: Gear4Music‘s pitch perfect full-year report
Andrew Wass, the company‘s chief executive who owns 39.1 per cent of the company, agreed to a 12-month lock-in period after selling of a portion of his 7,886,993 shares.
“We are delighted with the level of support for our oversubscribed fundraising,” he Wass.
“We would like to take the opportunity to welcome new shareholders onto our register as well as thank our existing investors for their continued support.
“We look forward to putting the funds raised to work in the group in executing our organic growth strategy for the business.”
Gear4Music went public in 2015 and has since seen its annual revenues double to £56.1 million in the year to February 28.