Prospering consultancy Capita Group Plc yesterday announced plans to raise UKP4.2m by issuing 2m new shares at 207 pence a time, at the same time unveiling its intention to move to a full listing on the Stock Exchange. Birmingham-based Capita, which reported pre-tax profits for the six months to June 30 up 45% at UKP1.4m on turnover that rose 21% to UKP11m, says it needs the proposed cash injection to fund large, long-term consultancy contracts. The company has hopes of securing this year up to 24 contracts worth a total of UKP49m over five years. And Capita aims to push down further the contribution of short-term contracts these had been reduced to represent 38% of income last year, from 80% two years previously. The new shares will represent 14.3% of the enlarged issued share capital and shareholders are to be offered one new share for every six shares already held. The rights issue will increase the company’s net assets by 157% to UKP4.1m. The application for a full listing echoes Capita’s pride in its achievements – the company feels the time is right to progress from its flotation on the Unlisted Securities Market. For the first six months of 1991, Capita saw Consultancy Services’ contribution climb 21% to UKP4.8m, Computer Services comprising Telecom Capita Ltd – up 28% at UKP3.3m, Marketing Services flat at UKP2.3m, Managed Services up 239% at UKP620,000, and Training & Management Development down 26% at UKP125,000.
