Ashurst has advised Automotive Holdings Group Limited (AHG) on a fully underwritten placement and non-underwritten share purchase plan, which has a combined value of A$110 million.

The Placement will be conducted via a bookbuild in both Australia and selected international jurisdictions. The issue price per share is A$4.52 per share, being a 6.2% discount to AHG's closing share price on 18 August 2016. Eligible shareholders will be offered the opportunity to participate in the SPP and subscribe for new shares up to the value of A$15,000. The SPP will be capped at A$20 million and is not underwritten.

AHG is undertaking these raisings to strengthen its balance sheet to position it for further growth opportunities in the automotive sector. These initiatives include funding the acquisition of Audi Newcastle and reducing debt taken on for a number of acquisitions completed since 30 June 2016.

Lead partner on the deal Roger Davies (Corporate) comments: "We are delighted to have assisted AHG with another capital raising, having previously advised on, among other matters, its equity raisings in 2011 and 2014 and some of its recent acquisitions. AHG is a longstanding and valued client of the firm.  We have enjoyed again partnering with AHG to help implement the Company's growth strategy and look forward to continuing to work with AHG in the future."

Roger was assisted by senior associate Themo Georgiou and lawyer Alexandra Meade.