Trading is expected to resume tomorrow.
On April 2, KMD declared it had completed its fully underwritten placement and institutional component of its $58.5 million capital raise.
The placement and institutional raised a combined $44.2m through the issue of new fully paid ordinary shares in KMD.
KMD’s eligible institutional shareholders took up 79% of the entitlements available under the offer.
Entitlements not taken up were sold in an institutional shortfall bookbuild at the same price under the entitlement offer.
Last month, KMD Brands filed its half-year results, revealing details of its discounted capital raise and news that chairman David Kirk was stepping down.
The company, which also owns Rip Curl and Oboz, reported a net loss of $13.1m for the six months to January 31.
It declared then that the capital raise was aimed at strengthening the company’s balance sheet.
The offer was arranged by Goldman Sachs New Zealand and Forsyth Barr, and was fully underwritten by the same companies.
The offer price of 6c a share represented a 69.2% discount to KMD’s then last traded price of 19.5c a share.
Jamie Gray is an Auckland-based journalist, covering the financial markets, the primary sector and energy. He joined the Herald in 2011.
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