05/10/2012 - 12:00

GCS completes $4.9m retail rights issue

05/10/2012 - 12:00


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GCS completes $4.9m retail rights issue

Global Construction Services has completed the $4.9 million retail component of its $32 million capital raising plan announced early in September.

GCS said today that the retail offer was well supported by eligible shareholders, who took up more than 71 per cent of their entitlement.

The balance of just over 2.3 million new shares will be taken up by a number of sub-underwriters, including Bell Potter Securities, GCS said.

The retail component of the offer comprised a 5 for 16 entitlements issue, priced at 60 cents per share.

GCS has already raised an additional $27.3 million from institutional investors, through a $10.4 million placement and a $16.9 million, 5 for 16 entitlements issue, both also priced at 60 cents per share.

Argonaut Securities is co-manager to the institutional component of the offer.

The construction firm was initially seeking to raise the funds at 85 cents per share, but that plan fell apart earlier this month after failing to attract the support of investors.

GCS shares dipped slightly on the ASX this morning, down 1.4 per cent at 11:55AM, WST.


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