Infrastructure

    Fletcher Building raises NZ$593M to strengthen balance sheet

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    Fletcher Building (ASX:FBU) has completed the institutional entitlement offer component of its NZ$418 million ($382.5 million) underwritten 1 for 4.49 pro-rata accelerated non-renounceable entitlement offer and the NZ$282 million ($258.1 million) underwritten placement.

    The closing date for these was Sept. 24, resulting in gross proceeds of approximately NZ$593 million ($542.6 million).

    Strong support was shown by investors, with eligible institutional shareholders taking up 91% of the institutional entitlement offer.

    All existing eligible institutional shareholders who bid for their pro-rata allocation of the Placement received at least that amount of new shares.

    "We are very pleased with the success of the institutional offer, and the strong support shown by investors. The capital raise will strengthen Fletcher Building's balance sheet, and improve financial resilience in the current environment," commented Andrew Reding, Fletcher Building's director and incoming CEO and Managing Director.

    Shares of Fletcher Building are expected to resume normal trading on the NZX and ASX today on an ex-entitlement basis.

    New fully paid ordinary shares offered under the placement and the institutional entitlement offer are anticipated to be allotted and commence trading on Sept. 30.

    The retail component of the entitlement offer will open on Sept. 26 and close on Oct. 8.

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