Yellow Brick Road (ASX:YBR) has received a change in substantial shareholder notice from Nine Entertainment (ASX:NEC) which has increased its stake to 17.8% from 16.7% via a share placement.
Nine had subscribed for 17,142,858 shares priced at $0.70 each in the earlier placement, or a total of about $12 million.
It now holds a total of 49,592,858 shares in Yellow Brick Road.
YBR has a strong relationship with Nine having reached in June a 5-year strategic marketing agreement to build its brand awareness and generate leads.
Under the agreement, the company and its affiliates will be able to access NEC’s media and communications platforms at discounted rates.
The company has recently completed the acquisitions of Vow Financial and Resi Mortgage Corporation, putting it well on the path towards becoming a leader in the ‘non-bank’ sector.
YBR has also reported a 27.3% increase in revenues to $31.66 million for the financial year ended 30 June 2014 while underlying EBITDA improved by 12% to a loss of $5.14 million.
