Barramundi issue may double in size to $100m

Strong demand has prompted Fisher Funds to double the potential size of the share float for its small Australian growth companies fund.

The funds manager had planned to raise $50 million for the new venture, Barramundi Ltd, but said yesterday said the offer would now be set at $65m, with an option for a further $35m of over-subscriptions.

Fisher Funds managing director Carmel Fisher said the response demonstrated investors were looking for a product that allowed them to invest in a portfolio of well-researched smaller, growing Australian companies.

The new company operates on similar lines to Kingfish, listed in New Zealand in 2004. Kingfish invests in smaller to mid-sized New Zealand companies and has achieved average returns of 25 per cent a year for investors.

The Barramundi offer at $1 a share opens today and closes on October 20 and will list on NZX on October 26. Investors will also get one warrant for every two shares they buy, granting the right to buy an additional share at $1.

Kingfish investors will get preferential treatment in applying for shares. ABN Amro Craigs is lead manager for the float with Forsyth Barr co-managing.

- NZPA