A legal class action launched against PGG Wrightson’s newest cornerstone shareholder was dismissed this week by a United States court.

The NYSE-listed company was the victim of a class action lawsuit launched by buyers of securities prior to its initial public offering two years ago.

The IPO raised $US282 million by selling securities at $US16.50 per share.

Rural services and supplies company PGG Wrightson has announced a renouncable rights issue of more than 400 million shares to generate $180 million under a new capital raising plan.

The company was put on a trading hold earlier this morning pending the announcement.

Majority shareholder Pyne Gould Corporation and Rural Portfolio Capital, partly owned by Craig Norgate and Baird McConnon's Rural Portfolio Investments (RPI) are also in trading halts this morning.

Trading in Pyne Gould Corporation’s rights was subdued today after a flurry of activity yesterday, as the share price continues to head towards the 40c discounted price of new shares offered in the rights issue.

Last week, Pyne Gould Corp (NZX: PGC) revealed it was aiming to raise as much as $270 million through a fully underwritten six-for-one rights offer, a placement to institutions and a share purchase plan.

The Australasian leg of mining giant Rio Tinto’s massive $US15.2 billion rights issue, the fifth biggest in the world, has come in undersubscribed by more than 5%, with a bookbuild launched to cover the shortfall.

The company has already revealed that its larger UK shareholder base had taken up 96.97% of the rights on offer and now says its Australian shareholders have been a little less keen, with 94.76% taking up their entitlement to the new shares.

Australasian mining giant Rio Tinto has launched its massive $US15.2 billion rights issue to cover the potential capital lost when its negotiations with Chinalco broke down, but warns that uncertainty in the global commodity markets will continue to put pressure on the bottom line.

The rights issue, which launches today and lasts until the end of the month, will see 21 new shares generated for every 40 existing shares.