- Beston Global Food (BFC) has raised nearly $9.24 million from its non-renounceable entitlement offer
- On December 17, the company announced it had initiated a non-renounceable entitlement offer to raise up to $15.6 million
- Eligible shareholders were able to subscribe for one new share for every 2.5 held for 6.5 cents
- Of the almost $9.24 million raised, BFC received applications for more than 103 million new shares, contributing to just over $6.72 million
- The remaining funds will be taken up by underwriters and directors
- BFC stated it would use the funds to meet the conditions of the $2 million South Australian Government Regional Growth Fund grant and purchase equipment
- BFC has ended the day 4.48 per cent in the green with shares trading at 7 cents
Beston Global Food (BFC) has raised nearly $9.24 million from its non-renounceable entitlement offer.
On December 17, BFC announced it had initiated a non-renounceable entitlement offer to raise up to $15.6 million.
Eligible shareholders were able to subscribe for one new share for every 2.5 held for 6.5 cents.
Of the almost $9.24 million raised, BFC received applications for 103,397,679 new shares, contributing to just over $6.72 million.
The remaining $2.52 million will be taken up by the underwriters and sub-underwriters, with 38,726,997 shares issued.
The $6.36 million in shortfall will see 97,875,324 shares be placed at the director’s discretion within three months from the offer’s close.
BFC stated it would use the funds to meet the conditions of the $2 million South Australian Government Regional Growth Fund grant awarded to fund the stage two expansion of the lactoferrin plant.
Once completed, the plant will be able to produce over 20 tonnes of product per annum.
The money was also used to fund the purchase of equipment needed for the increased production of lactoferrin and mozzarella to enable the plant to operation reliably 24/7.
Shares are expected to be issued on February 10.
BFC has ended the day 4.48 per cent in the green with shares trading at 7 cents in a $42.17 million market cap.