ENGLISH WINES LOOKS TO RAISE 1 MILLION

Published: 23 July, 2008

English Wines Group plc is seeking to raise 1 million via an offer for subscription. The new shares will account for 33.39% of the issued capital, valuing the group at 2.99 million upon closing of the offer and assuming full subscription. It is intended that the entire issued share capital of English Wines will be traded on the OFEX market. Frazer Thompson, EWG's managing director, said: We are seeking funds from outside investors in order to build on the solid foundations we have laid. We have already secured legally binding commitments in respect of 500,000 worth of shares to be subscribed under the offer. That's a great vote of confidence in our business plan. We intend, upon closing the offer, to move the business forward and develop our brands. In addition to giving us a platform from which to raise money, having our shares traded on the OFEX market should also increase the company's profile. We're in good company on OFEX, with Shepherd Neame, Brakspear, Thwaites, Smiles and other solid drinks and leisure companies.' As well as making English wine, EWG has two retail outlets, two cafs and a public house, all of which specialise in selling the company's wines. It has focused on the creation of a new brand in the wine market, Curious Grape', which it believes is capable of extension into beer (Curious Brew') and cider (Curious Apple'), and the development of an English sparkling wine brand, Chapel Down'. The group's wines are stocked by leading supermarkets, off-licences and on-trade outlets. The group also claims significant growth in sales of its wines through the group's public house since its acquisition in May 2002.

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