Rights issue lifts defence group

E2V Technologies, the maker of electronic components used in defence systems and medical equipment, suffered a 26 per cent fall in like-for-like sales in the first half to September 30. Keith Attwood, chief executive, said that such a decline had proved a challenge, given the high fixed-cost base. However, E2V has been well-supported by both its workforce and the shareholders. A placing at 70p, coupled with a 9-for-7 fully underwritten rights issue at 28p, will raise £56m. The proceeds will be used to halve the debt, which has already fallen £32m since March to £105m.