MPA to raise $13.5m, delist from ASX

Aquaculture company Marine Produce Australia plans to raise $13.5 million to fund an expansion of its barramundi operations in the Kimberley and delist from the local stock exchange.

The West Perth-based company has planned a two-for-one entitlements issue with shares priced at three cents each. The issue has been underwritten to the tune of $9.2 million from the company's top three shareholders.

Additionally, MPA's founding shareholder, the Hutton family, has agreed to covert its existing $3.3 million debt facility into equity as part of the rights issue, effectively eliminating all debt owed by the company.

MPA will also delist from the Australian Securities Exchange in order to reduce administration and other overhead costs to restore the underlying value of the company.