LONDON (ShareCast) - Farm supplies group Wynnstay has completed a nine million pound fundraising to complete the purchase of seven Welsh country stores.

The stores are run by Carmarthen and Pumsaint Farmers, an industrial and provident society, whose members on Thursday voted in favour of the acquisition.

Wynnstay Chief Executive Ken Greetham said: "The addition of the society's seven stores in South West Wales represents an excellent fit with our existing Wynnstay Country Stores activities and enables us to extend our presence in an area where we have been under-represented.”

He said the group intend to expand the range of products and services in the shops and added that the location of Wynnstay’s feed mill at Carmarthen would bring additional advantages.

The company placed shares at 535p, a 4.9% discount to the closing price the previous day, to raise a net £8.7m after costs going mainly to its broker Shore Capital.

Greetham said the fundraising was well supported by both new and existing investors.

“Due to very strong investor demand, we are delighted to have been able to raise additional funds above the amount we needed to fund the acquisition, which will help to support our position as a consolidator in the agricultural sector.”

Shares in Wynnstay were down 0.5% to 558.5p at 13:49 on Thursday.

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