Having raised £26.5m just two weeks ago (see Quindell makes another dash for cash), buy and build insurance BPS player Quindell Portfolio is now raising another £20m, this time from a new institutional investor. Like last time the placing price is 13p, a slight discount to Quindell’s share price yesterday. It also got approval from RBS for a further £13m in credit, bringing its total available to £32m.
Quindell is planning to use the money to fund organic growth i.e. to scale up to support new and existing contracts. We understand from CE Rob Terry that Quindell has some big opportunities to play for, and is already engaged in pilot projects for some of these. So recruiting and training more staff is another priority to add to the list. We have raised concerns about the speed at which Quindell is growing. But for now at least investors are happy to give it the benefit of the doubt.