Fletcher confirms share purchase plan price

Fletcher Building confirmed the issue price for shares under its $100 million share purchase plan is $5.35 per share.

That is the same as the share price in the institutional placement which raised $406.5m.

As the share purchase plan was over-subscribed all valid applications had been scaled back on a pro-rata basis, the company said today.

As a result, a shareholder who applied for the maximum $11,500 of shares would be issued with 1216 shares at a total cost of just above $6500.

Under the plan offer, the share price was to be the lower of $5.35, or a 3 per cent discount to the average of the daily volume weighted average prices of Fletcher shares calculated over the 10 trading days May 6 to 19.

According to Reuters data, Fletcher shares ranged between $7.17 and $6.48 during that period. About 45 minutes into trading today they were unchanged at $6.59.

- NZPA