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Coronavirus impact: 17 April - Red flag rating hits new high

17/04/2020 · Begbies Traynor (BEG)  · Bloomsbury Publishing (BMY)  · Gym Group (GYM)  · Hollywood Bowl Group (BOWL) 
AIM Coronavirus UK

While plenty of listed groups appear to have little difficulty raising new equity and debt funding, the latest data shows there are record numbers of smaller companies struggling with many in critical distress.

Gym Group: bolsters the coffersGym Group (LON:GYM), the nationwide operator of low cost, no contract gyms, has raised £41.3m of new equity at 161 pence per share, a 6.8% discount to the closing share price the day before. The share price remains 50% off the January 2020 highs, despite bouncing over 100% from March lows. With its customers currently exercising at home, it will be interesting to see how GYM and the gym market as whole recovers when life returns to normal. While many will be looking forward to visiting the gym again,  we suspect some may have become fans of Peloton (US:PTON)…

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