-
Nuplex - Source: Nuplex -
Related
Shares in resins manufacturer Nuplex Industries were placed on a trading halt shortly after the sharemarket opened on Friday, pending an announcement from the company.
Nuplex yesterday issued the 577.6 million shares made available through a renounceable rights issue to existing shareholders.
Shareholders were offered seven new shares for every one existing share, at an issue price of 23 cents a share.
The $132.8 million rights issue was undersubscribed by 4.09%, or $5.4 million, which was taken up by underwriters First NZ Capital and sub-underwriters.
First NZ Capital had four business days from Wednesday to exercise an option requiring Nuplex to allocate up to 99 million new shares to sub-underwriters, a broad range of institutional and habitual investors.
"I suspect it's (the halt) about the option the underwriters have to take another 15% of the company," says market analyst Baden Carter.
Carter says there may also be some developments on the terms and conditions of the option.
