- Virtus Health (VRT) completes a $35 million institutional placement to fund an acquisition
- The company recently announced its intention to launch a placement to cover the majority of a $45 million purchase of a fertility clinic and three day hospitals
- The placement has received strong support from institutional shareholders who will be issued more than 5.14 million new shares at $6.80
- The new shares are expected to settle today and commence trading on Friday, August 27
- VRT’s shares are trading in the grey at $6.90 at 2:07 pm AEST
Virtus Health (VRT) has completed an institutional placement to raise $35 million.
The company went into a trading halt at the start of this week and announced its intention to raise $35 million to fund the acquisition of Healius’ (HLS) clinical facilities.
Virtus said the $45 million deal to acquire the Adora Facility and three day hospitals complemented its existing portfolio.
Positively, the underwritten placement was well-supported by new and existing institutional shareholders.
In total, the company will issue 5.147 million new shares at $6.80 per share which marks a 5.4 per cent discount to the last closing price of $7.19 on August 20 and a 6.5 per cent discount to the five-day volume-weighted average price of $7.27.
Managing Director and CEO, Kate Munnings, commented on the placement.
“The institutional placement was significantly oversubscribed and we are pleased with the strong level of support shown from existing shareholders. In addition, we’re pleased to welcome a number of new institutions onto our share register,” she said.
The placement shares are expected to settle today and commence trading on Friday, August 27.
VRT’s shares were trading in the grey at $6.90 at 2:07 pm AEST.