Hellaby shares fall 2.7% after halt for $40m placement lifted
Shares in Hellaby Holdings fell 2.7 percent after the trading halt for a $40 million placement to institutional investors was lifted.
The stock shed 9 cents to $3.20 after trading resumed, keeping a 6.3 premium to the $3 placement price. A range of local institutional investors bought 13.33 million shares and will also be eligible for the 5 cents per share dividend payable on April 19.
"Hellaby Holdings Limited is pleased to confirm the successful completion of a targeted placement to raise $40 million to broaden the shareholder register and position the company for future growth," the company says in a statement.
A further $10 million will be raised via a share purchase plan at the lower of either $2.95, being the placement price minus the dividend, or the average closing price of five days leading up to and including the closing date of the offer.
Castle Investments, which owns 30.5 percent of Hellaby, will participate in the capital raising.