FinancialAdvice.co.uk Logo

Qualified advisers answering your
Financial Questions
call 0800 092 1245

More and more stock market companies looking to shareholders for rescue

The last few days have seen a sudden surge in the number of UK stock market listed companies looking to raise more funds from shareholders and effectively rescue the business. A mixture of falling demand and increased debt servicing costs are seeing more and more companies hit the financial buffers and resort to desperate tactics to raise funds. The entertainment and leisure industry seems to be the hardest hit (apart from the financial sector which has been bailed out by taxpayers) and there are concerns this is just the tip of the iceberg.



While the UK banking sector has grabbed the headlines with regards to increased debt and increased requirements for additional funding many of the small to medium-sized companies have slipped under the radar and are also struggling. Whether shareholders are able or willing to inject additional capital into these companies, to ensure they are going concerns and able to continue trading, remains to be seen. Many of the larger institutional investors are already nursing substantial losses in the property and stock market investment arenas and appear relatively unlikely to support smaller operations in the short term.



The leisure and entertainment sector appears to have been hit hardest because of a dependence upon disposable income which has evaporated over the last few months.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:



Latest News

Blogs

Helpful new tax year facts that could affect you and your money


Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.


Read more

Useful Links

Popular Searches

Please Enter More Details

 
Enter More Details
Continue