Koovs PLC (LON:KOOV) saw its shares rocket in mid-afternoon trading Wednesday after Future Lifestyle Fashions Limited (FLFL) agreed to purchase up to a 29.9% stake in the company.
The AIM-listed India focused online fashion retailer said it would issue FLFL with 57,876,600 new ordinary shares at a price of 10p per share, a 45.5% discount on its last close price of 18.3p, to raise around £5.78mln in cash.
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FLFL is part of Future Group, the largest retail consortium in India, which owns over 60 brands and operates around 2,000 retail stores.
Koovs also said it was opening a bookbuild to raise up to £10mln of equity at a price of 15p per share.
Shares were up 34.8% at 24.7p.