INM shares jump 11% after group raises €52m in rights issue

SHARES in Independent News & Media (INM) jumped by more than 11% in early trading yesterday, after the group announced it had raised €52 million from its rights issue, helping to reduce overall debt levels by around €350m.

The rights issue — along with the sale of certain non-core assets and a debt-for-equity deal — marked one of the pivotal points of INM’s debt reduction programme and the repayment of its €200m bond, which was originally due for payment last May and which has been uppermost on the group’s agenda ever since.

Commenting on INM’s position following the closure of the rights issue, group chief executive Gavin O’Reilly said: “We are very pleased with the significant take-up of the rights issue and the significant support it has received from shareholders. This, combined with the completion of the asset disposal programme, means that net debt has been reduced by approximately €350m in 2009.