Friday, 14 October 2016 12:27

Synlait completes $98m entitlement offer

Written by 
Synlait chairman Graeme Milne. Synlait chairman Graeme Milne.

Synlait has successfully completed its pro rata entitlement offer announced on September 19, raising $98 million of new equity.

The funds will be used for a mix of debt repayment and contributing to a three-year circa $300 million capital growth project program.

“We’re very happy with the support our shareholders have shown during this offer and I’m pleased we were able to welcome new shareholders to our company at the same time,” says Graeme Milne, chairman.

Synlait’s largest shareholder, Bright Dairy, has maintained its 39.12% shareholding.

“As a growth company, we will continue pursuing profitable opportunities to make more from milk. Our planned growth projects are expected to enable us to take advantage of these opportunities and to solidify our international position as a trusted and innovative dairy manufacturer,” says Milne.

The growth projects will provide additional capacity for infant formula manufacturing, consumer packaging, infrastructure requirements and value added cream manufacturing.

John Penno, managing director and chief executive, added the process to dual list on the Australian Securities Exchange (ASX) is well underway.

“We expect to be trading on the ASX by the end of 2016 and look forward to strengthening existing and building new relationships with Australian investors in the near future,” says Penno.

More like this

Synlait braces for heavy loss

Listed Canterbury milk processor Synlait is heading towards its first financial loss ever, but is telling its farmer suppliers not to worry.

More trouble for Synlait

Embattled Canterbury milk processor Synlait has taken another hit, with key customer and shareholder a2 Milk issuing its fourth earnings downgrade.

Synlait woes

OPINION: The misery of a2 milk is being passed onto its New Zealand partners, including Canterbury processor Synlait.

National

OCD's record milk collection

The country's second largest dairy processor collected just short of 2 billion litres of milk from its suppliers.

Fieldays returns

After a hiatus of two years, National Fieldays opened to a grey foggy day in the Waikato, last Wednesday.

Machinery & Products

Classy new home for CLAAS

Visitors to last week's National Fieldays were able to check out the new home for CLAAS Harvest Centre, Waikato and…

Major deal for AgriQuip

New Plymouth-based AgriQuip has been appointed as the exclusive importer and distributor of the Major Equipment brand, with the aim…

» The RNG Weather Report

» Latest Print Issues Online

Milking It

Name it and milk it

OPINION: University researchers in the UK believe that a cow will produce more milk if you give it a name.

No thanks!

OPINION: Auckland yoghurt maker The Collective claims it is the first New Zealand dairy yoghurt brand to offer a plant-based…

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter