REL: 1505 HRS Rakon Limited
PLACE: RAK: Rakon Institutional Placement Completed
Institutional Placement Closed
Rakon Limited (NZX: RAK) is pleased to confirm the successful completion of
the institutional placement to raise NZ$45 million to fund the expansion of
its Chinese manufacturing facilities.
The placement was well received by institutional investors in New Zealand,
Australia, Asia and Europe, with 39.1 million shares to be issued at a price
Rakon Chairman Bryan Mogridge commented "The Board are very pleased with the
outcome and support from investors. This provides Rakon with a platform to
move swiftly to capture the significant earnings growth opportunities we have
UBS New Zealand Limited acted as Sole Bookrunner and Underwriter for the
Settlement of the unconditional tranche of the placement is expected to occur
on 28 September 2009, with the 20.3 million shares issued expected to
commence trading on the NZX on 29 September 2009.
A special shareholder meeting to approve the issue of 18.8 million shares
under the conditional tranche of the placement will be held on 12 October
20009. Subject to receiving shareholder approval, the conditional tranche
shares are expected to commence trading on 16 October 2009.
Rakon will also offer eligible New Zealand registered shareholders the
opportunity to subscribe for up to NZ$15,000 worth of shares through a NZ$20
million fully underwritten share purchase plan (SPP). The price of these
shares will be the lower of the institutional placement price ($1.15), or
2.5% below the average end of day market price of Rakon share traded on the
NZX over the period of 5 business days immediately prior to the closing date
of the SPP. Further details of the SPP are expected to be sent to
shareholders in the coming week.
End CA:00185313 For:RAK Type:PLACE Time:2009-09-23:15:06:02