By DANIEL RIORDAN
Genesis Research and Development is going ahead with its much-delayed float and will seek to raise $34.5 million in new capital as part of its listing on the New Zealand and Australian Stock Exchanges.
The biotechnology company said it would offer 5.75 million shares at 600c, bringing its market capitalisation to $148 million.
The offer will see 1.5 million shares reserved for firm allocation to clients of broking firms and other invited financial intermediaries. In addition, 350,000 shares will be reserved for existing shareholders. There will be no public pool.
The offer, which is being managed by UBS Warburg, will open on August 29 and close on September 14 with listing on both sides of the Tasman expected on September 22.
Genesis founder and chief executive Dr Jim Watson said the money raised would be used for research and development.
That work includes the clinical development of immune therapies for psoriasis and asthma, expansion into eczema and the development of potential forestry and horticultural products.
Genesis pulled its float in May, citing volatile markets. At the end of June, it raised $13.8 million from six institutional investors, placing 2.76 million shares (or 15 per cent of its total) at 500c a share, as it awaited better market conditions for its listing.
Genesis R&D finally goes ahead with share float
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