Vela Technologies makes further investment in Northcoders

Technology investor Vela has purchased 33,333 shares in Northcoders Group, it announced on Monday, as part of that company’s secondary placing as announced on 21 November.

The AIM-traded firm said it paid a price of 300p per share, for a total cost of £99,999, satisfied from its existing cash resources.

Settlement of the investment was expected to occur on Monday, in accordance with the details of the placing announced by Northcoders.

Vela said its investment was part of the secondary placing undertaken as a result of excess investor demand, following an oversubscribed placing that raised £2.1m before expenses for Northcoders.

Following the purchase, Vela said it held 349,999 Northcoders shares, representing 4.55% of its enlarged share capital following completion.

“Northcoders has more than met the promise that Vela perceived at the time of its initial public offering in July last year,” said Vela executive director James Normand.

“We were therefore keen to maintain Vela's equity interest in the expectation of continuing growth for Northcoders, boosted by the proceeds from this oversubscribed placing.”

At 1309 GMT, shares in Vela Technologies were down 1.46% at 0.02p.

Reporting by Josh White for Sharecast.com.