05/09/2016 - 13:31

Imdex in $45m raising

05/09/2016 - 13:31

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Drilling services company Imdex has tapped investors for $40 million, with plans to raise a further $5 million as it seeks to shore up its balance sheet.

Imdex in $45m raising

Drilling services company Imdex has tapped investors for $40 million, with plans to raise a further $5 million as it seeks to shore up its balance sheet.

Balcatta-based Imdex raised the funds through the placement of 72.7 million shares at 55 cents each, while a further $5 million is expected to be raised by way of a share purchase plan at the same price.

The funds will be used to reduce debt and strengthen the company’s balance sheet.

Imdex is moving forward with a re-set capital and corporate structure that will allow the company to take full advantage of the minerals cycle upswing,” managing director Bernie Ridgeway said.

Recently appointed chairman Anthony Wooles said the board supported the placement and share purchase plan.

“The capital raising substantially de-risks the balance sheet and results in an enhanced capital structure for the company in the long term,” said Mr Wooles, who intends to participate in the raising.

Last year, Imdex cancelled a $21.5 million capital raising after finalising a $54 million loan facility agreement with fund groups managed by Sankaty Advisors, which transferred Imdex’s debt previously owed to Westpac and HSBC.

Euroz Securities acted as lead manager to the raising, while Hartleys brokered the offer.

Imdex shares were 8.4 per cent lower to 59.5 cents each at 1:30pm.

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