The Investment Association ( IA ) has accused TalkTalk of ' blatant disregard ' for City guidelines after it raised £ 40 m in a new share placing to repair its balance sheet without shareholder approval . TalkTalk placed new shares equivalent to a fifth of its stock market value, in breach of industry guidelines that set the limit at a tenth. The placing breached limits set by industry guidelines , said the IA , being equivalent to a fifth of TalkTalk 's market value . TalkTalk insisted it had engaged with shareholders and respected their wishes . The cash call coincided with a profit warning , citing increased costs from faster - than - expected revenue growth , and the firm 's second dividend cut in under a year . CEO Charles Dunstone has admitted to investing £ 40 m of the new cash .
The Investment Association ( IA ) has accused TalkTalk of ' blatant disregard ' for City guidelines after it raised £ 40 m in a new share placing to repair its balance sheet without shareholder approval . The placing breached limits set by industry guidelines , said the IA , being equivalent to a fifth of TalkTalk 's market value . TalkTalk insisted it had engaged with shareholders and respected their wishes . The cash call coincided with a profit warning , citing increased costs from faster - than - expected revenue growth , and the firm 's second dividend cut in under a year . CEO Charles Dunstone has admitted to investing £ 40 m of the new cash .