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Hot Topic NBR Focus: GMO
Hot Topic NBR Focus: GMO
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Serko halts share trading to raise funds in 'targeted placement'

The halt is expected to be lifted once the placement is completed.

Paul McBeth
Fri, 18 Dec 2015

Serko [NZX: SKO], the online travel booking company, which has downgraded its earnings guidance twice this year, has halted trading in its shares to raise funds in a "target placement."

Last month, the company said it was looking at raising new capital to fund its expansion into international markets and release new products. Today, it sought a trading halt in its shares "to undertake a targeted placement of new shares, as signaled at its recent 2016 financial year interim results announcement."

The halt is expected to be lifted once the placement is completed.

When Serko listed in June last year, chairman Simon Botherway said the company didn't anticipate coming back to market for more funding, and as recently as the August annual meeting said there were no plans to do so.

The shares last traded at 80c, and have tumbled 29% this year.

Serko raised $17 million in an initial public offering in June last year, selling 15 million shares at $1.10 apiece.

As at September 30 the company had cash and equivalents of almost $2.5 million, reporting an operational cash outflow of $1.7 million in the six month through September, smaller than the $3.7 million used a year earlier.

(BusinessDesk)

Paul McBeth
Fri, 18 Dec 2015
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Serko halts share trading to raise funds in 'targeted placement'
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