RPI secures funding cover

Craig Norgate's investment vehicle Rural Portfolio Investments has secured funding to cover an upcoming payment to investors.

Rural Portfolio Investments (RPI) is due to pay $46.3 million for redeemable preference shares on April 15.

RPI owns 30 per cent of PGG Wrightson and is a joint venture between PGG chairman Norgate and Otago's McConnon family.

Refinancing at RPI was among concerns that helped drive a share price crash last month at PGG Wrightson.

RPI yesterday said it had entered into commitments relating to the refinancing of the redeemable preference shares due next month.

The refinancing package was made up of equity and debt funding from McConnon family investment vehicle Aorangi Laboratories and debt funding from financial institutions.

The refinancing was good news, Norgate said. "Absolutely and obviously we couldn't make a lot of progress until a couple of weeks ago so it's come together pretty well," he said.

PGG Wrightson shares closed up 3.8 per cent at $1.10.