Torotrak issue left with backers
Wednesday 19 August 1998
The money will now be provided by the institutions that had agreed to sub-underwrite the issue.
Failure was almost inevitable given that the price of Torotrak shares had gradually slipped from a 302p high to 224p on Monday. Shares fell a further 6.5p to 217.5p yesterday.
A spokesman for Torotrak said the rights issue was hampered by the 12 per cent fall in the general stock market. "Torotrak is a difficult company for investors because there is nothing quite like it. It is an engineering company with a new product being developed and more similar to a biotechnology company," he added.
BTG decided to hive off Leyland-based Torotrak so that it could concentrate on developing an Infinitely Variable Transmission, which offers 20 per cent fuel savings by dispensing with a clutch.
Torotrak had become too big for BTG's portfolio of technologies. The company was launched on the stock market as a separate entity from BTG on 27 July at a price of 250p.
The pounds 50m of new money will be spent on developing fleet trials for the new transmission system. Torotrak will not mass produce the system, but already has seven licencees with options to do so.
- 1 Fifty Shades of Grey movie trailer released: First look at Jamie Dornan as Christian Grey
- 2 Is Gideon Levy the most hated man in Israel or just the most heroic?
- 3 50 books for students to read this summer: From Ernest Hemingway to Gillian Flynn
- 4 Students offered grants if they tweet pro-Israeli propaganda
- 5 Israel has discovered that it's no longer so easy to get away with murder in the age of social media
Israel-Gaza conflict: Israeli targeting policy under scrutiny after shellfire hits a mother and child, a school full of refugees and a doctor’s home
Peaches Geldof cause of death: Socialite had taken fatal dose of heroin after years of addiction, inquest concludes
Peaches Geldof: Her final day – and her fatal decision
Students offered grants if they tweet pro-Israeli propaganda
Iraq crisis: Isis orders Mosul shop keepers to cover mannequins
Malaysia Airlines MH17 crash: Vladimir Putin is given 'one last chance' to end hostilities in Ukraine
The 'scroungers’ fight back: The welfare claimants battling to alter stereotypes
The truth about conspiracy theories is that some require considering
Arizona execution lasts two hours as killer Joseph Wood left 'snorting and gasping' for air
Malaysia Airlines MH17 crash: Ukrainian military jet was flying close to passenger plane before it was shot down, says Russian officer
Malaysia Airlines MH17 crash: Massive rise in sale of British arms to Russia
iJobs Money & Business
£18000 - £20000 per annum + OTE £25K: SThree: SThree Group has been well estab...
competitive: Progressive Recruitment: This really is a fantastic chance to joi...
£40000 - £60000 per annum + BONUS + BENEFITS: Harrington Starr: CXL, Triple Po...
£60000 - £75000 per annum + BONUS + BENEFITS: Harrington Starr: Business Anal...