Cobram Estate Olives (ASX:CBO) completes $50m placement

• Cobram Estate Olives (CBO) completes a fully underwritten institutional placement, raising $50 million
• The placement consists 25 million shares issued at $2 per share which represented a 1.5 per cent discount from the previous closing share price of $2.03
• CBO says it will use the money to support growth initiatives in Australia and the US
• Cobram Estate also plans to offer eligible shareholders the opportunity to participate in a share purchase plan aiming to raise up to $1 million
• Shares have been up one per cent trading at $2.05

Cobram Estate Olives (CBO) has completed a fully underwritten institutional placement, raising $50 million.

The company said it received strong interest from both existing institutional shareholders and new investors, with demand to participate in the placement reportedly in excess of the funds CBO sought to raise.

The placement consists of 25 million shares issued at $2 each which represents a 1.5 per cent discount from CBO’s previous close of $2.03.

According to CBO, new shares issued under the placement are expected to settle on Thursday, December 9, 2021 and be issued and commence trading on the following business day, Friday December 10, 2021.

New Shares issued under the placement will rank equally with existing CBO shares.

Additionally the company is planning a share purchase plan. CBO will offer eligible shareholders the opportunity to subscribe for up to $30,000 worth of shares each totalling up to $1 million.

CBO’s Chair and Co-Founder, Rob McGavin, said the company was delighted by the strong support from shareholders.

“The company is excited by the tremendous growth opportunities in the US and Australia and would like to thank our shareholders for their support of this vision.”

Shares were up one per cent trading at $2.05 at 2:39 pm AEDT.