// Sosandar has raised £7m through the sale of new shares
// The online fashion retailer placed approximately 46.7 million shares at 15p per share.
// It will use the new capital to grow product range and customer acquisition
Sosandar has raised £7 million through the sale of new shares, which the online retailer will use the accelerate growth of the business.
The news comes shortly after the fashion brand reported a 268 per cent increase in gross profits to £2.44 million for the year to March.
Sosandar also raked in £4.44 million in revenues – an additional £3.09 million or 228 per cent growth year-on-year – and slashed its EBITDA loss to £3.49 million, down from a loss of £6 million last year.
The equity raise comes after Sosandar placed approximately 46.7 million shares at 15p per share.
It said the money raised would support its working capital expenditure, 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,” Sosandar co-founders and co-chief executives Ali Hall and Julie Lavington said.
“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.”