Severn Valley Railway sells £300,000 of shares

People have snapped up the £1 shares as part of an offer launched to raise £2.5 million to pay for major work at Bridgnorth railway station.

The share offer was launched just six weeks after the SVR's Pacific Power event, featuring famous locomotive Flying Scotsman, which attracted more than 45,000 visitors.

As a result, early investor interest was so high that the railway's share offer team hit its 10 per cent target just 10 days into the campaign. The £250,000 mark was hit by the end of November 11.

By Monday (NOV 21) – three weeks since the launch – SVR had sold 335,000 shares.

Nearly 40 per cent of applications are from new shareholders, those who have not previously invested in the railway's previous share offer programmes, which bosses said showed the growing appeal of the heritage railway.

Railway bosses want to build a new refreshment room and toilets at Bridgnorth, which is the headline project in phase one of its proposed restoration and development.

Nick Ralls, general manager of the railway, welcomed the campaign's early success.

He said: "Of course we expect the majority of early share applications to come from committed supporters, from our strong core of existing shareholders, but we are pleased and surprised to see such a high volume of applications from new railway supporters, especially so early on in the campaign.

"What is also pleasing is that the total invested so far doesn't necessarily yet reflect the true success of the launch. This is a staged application process whereby telephone and web applicants must first receive, complete and then return an application pack which must itself be carefully processed before the end sales tally can be updated.

"Therefore with more than 2,700 initial inquiries in the pipeline within just three weeks of the launch we are hopeful that we could be on our way to the next milestone of half a million within weeks."

The 300,000 shares milestone coincided with the start of groundworks at Bridgnorth Station last week (NOV 17) to prepare foundations for the new refreshment room, to be built in the style of a typical Great Western Railway ancillary building from the turn of the 20th century.

The refreshment room is part of the first phase of development for Bridgnorth's station.

The remainder of the first phase of development will include alterations to the 1862 neo-Jacobean, grade-II listed station building to reinstate the original booking hall and waiting room and expand the popular pub, the Railwayman's Arms, as well as extensive tree planting work.

Second phase works which share offer proceeds will also fund will include the installation of a turntable, more public realm improvements and opening up road access with enhanced car parking to accommodate significantly higher visitor numbers at the northern end of the line.

Full share offer information can be found at www.svr.co.uk/shareoffer or by calling 01562 757900.

Alternatively, those wishing to donate to the Bridgnorth Development fund without buying shares can do so via the Severn Valley Railway Charitable Trust and taxpayers may be able to apply for a further 25 per cent Gift Aid on each donation.

Go to www.svrtrust.org.uk to download a Bridgnorth donation form.