Providing debt to a business that is just eight months old is not the norm. Tim Johnston explains how Oxygen jumped the queue.
In February 2016, we provided an £8m loan as part of a £10m debt and equity fundraising by Oxygen Freejumping. £2m equity was raised at the same time, primarily from the original shareholders. Oxygen ran two trampoline parks, in Acton and Southampton. The funds will be used to roll out new sites; at least 15 are planned over the following two years.
The company began looking for further finance last autumn. We were introduced to Oxygen in October last year. We agreed terms, and completed due diligence before Christmas. Then we completed the legal process, which was linked to and ran alongside the equity fundraising, early in 2016.
Zeus Capital advised on the equity fundraising, Rise Partners on the debt. On the legal side we used Gateley, and Oxygen used DAC Beachcroft.
Members of the Corporate Finance Faculty and Faculties Online
Full article only available to Corporate Finance Faculty members and subscribers to Faculties Online.
If you would like to read this article in full why not join the Corporate Finance Faculty and gain member access to all member only content.