Richmond to riches with $50M capital raising

Credit Suisse First Boston, Forsyth Barr and Forsyth Barr Frater Williams are the joint lead managers for the offer of subordinated, unsecured Capital Notes - the initial issue is for $30 million however $20 million in oversubscriptions will be accepted should they eventuate.

The offer is directed at both institutional and retail investors and with some of New Zealand's largest brokerage firms behind it, there should be no shortage of demand for the Notes.

Richmond's CEO, John Loughlin says the money will be used to strengthen the company's balance sheet, diversify its funding base and position it for further industry change.

And what is this change? Historically a meat processing based company, Richmond is now becoming a "New Zealand food company". This expansion is evident in a recent advertising campaign by Richmond which showcases their "Gourmet Direct" service and the use of a DNA tracking system for meat.

Richmond has been planning to list its shares on the main board of the Stock Exchange for some time now, a move that should enhance its exposure amongst the investor community.

The Capital Notes issue and listing will happen around mid-February, 2001.

Comments from our readers

No comments yet

Add your comment:

Your name:
Your email:	Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.