Rubicon Ltd is raising $21.4 million of new equity from an offer to existing shareholders.The capital raising has an accelerated initial offer to substantial shareholders, which closed today, and a retail offer.The company said it already has commitments
Rubicon Ltd is raising $21.4 million of new equity from an offer to existing shareholders.
The capital raising has an accelerated initial offer to substantial shareholders, which closed today, and a retail offer.
The company said it already has commitments from 70 percent of the company's shareholder base, representing $15m, so it has decided not to incur the cost of an underwriter for the retail offer.
Under the retail offer shareholders can buy one new share for every seven shares held at 60c each. This is the same ratio and price as offer to substantial shareholders.
Shares not taken up under both parts of the offer will be offered to selected investors via a single bookbuild and any premium above the 60c price will be paid to shareholders. There is no trading of rights.
The money raised will be used to repay debt and finance the needs of investments in Arbogen and Tenon.
Rubicon was formed from the break up of the Fletcher Challenge group.
