The placing of 62.5 million shares raised American Leisure Group (ALG) £75 million.

The company, which is incorporated in the British Virgin Islands, now has a market capitalisation of £204 million. The placing represents just over a third (36.8 per cent) of its total share capital.

CEO Malcolm Wright comments: ‘A considerable proportion of the customer base for our vacation resorts is from the UK and Europe and joining AIM significantly enhances our credibility in the marketplace and raises the profile of ALG here.’

ALG will use the funding to continue developing a planned 7,000 resort units on its existing land, which it says will be capable of accommodating 300,000 families a year. When selling the units, the company will offer whole or fractional ownership as well as vacation club ownership.

In January 2005 ALG signed a 20-year agreement with resort owner and operator Sonesta, which will be responsible for managing one of the resorts.