Online womenswear retailer Sosandar announced its admission to the London Stock Exchange last week, having raised £5.3 million from a new share placing.
Just over a year since its launch Sosandar successfully achieved a market capitalisation of £16.1 million following its admission to AIM on Thursday, hitting a share price of 15.1p per share on 106,814,658 on ordinary shares.
Set up by Look magazine’s former editor Ali Hall and publishing director Julie Lavington last September, the young retailer achieved gross sales of £847,000 in the 11 months to July 31 and £478,000 net sales after returns.
“Today’s announcement coupled with this significant investment heralds a very exciting time for the brand,” said Lavington, who is co-founder and joint chief executive.
“Sosandar intends to expand its market share in the already large and successful, yet still growing online fashion market. Investment will be used to further extend the product range and develop brand awareness amongst potential customers.”
Both Lavington and co-founder Hall have reduced their joint 25 per cent stake in the retailer to a stake of five per cent each following the £6.3 million acquisition of Sosandar’s parent company thread by Oregon last month.
Non-executive director Adam Reynolds added: “I am delighted that Orogen has found an attractive acquisition opportunity so quickly.
“Sosandar is operating in a market that is showing growth and it has a highly motivated and experienced management team.
“With added balance sheet strength, I believe we will be able to accelerate this growth opportunity, benefiting all shareholders in the enlarged group.”