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Pacific Current Group (ASX:PAC) raises $12.5M to settle debt

Finance
ASX:PAC      MCAP $561.1M
10 December 2019 07:02 (AEDT)

Asset manager Pacific Current Group (PAC) has raised $12.5 million from institutional investors to assist with settling the debt and replenishing the funds for everyday expenditure.

Shareholders had the opportunity to buy into the company at $6.05 per share, marking a 7.35 per cent discount from today’s closing price and a 10 per cent discount from the company’s 10-day average price.

Explaining its choice to capital raise, Pacific Current detailed in its release to the market today the company “values a flexible capital structure and will continually work to pursue capital for investment opportunities.”

“As part of that process, the company is in the process of securing a meaningful debt facility at a low cost of capital, to increase the company’s ability to invest opportunistically and enhance its return on equity,” the release continued.

The company’s portfolio currently consists of 15 specialist boutiques in 

Australia, India, Luxembourg, the U.S. and the U.K.

Last Friday Pacific Current entered a trading halt in the lead up to the capital raising.

Following its successful raise and resumption of trading on the market, Pacific Current’s share price is up 0.77 per cent. Shares in the company are trading for $6.53 each. 

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