The a2 Milk Company has completed a $NZ 40 million capital raising to help expand its business including pushing its successful infant formula brand Platinum into Asia and the UK.
The placement of 58.8 million shares was oversubscribed at a price of $NZ 0.68.
The company is planning to raise up to a further $NZ 3 million through a share purchase plan.
CEO Geoffrey Babidge says the capital raising is an important step in strengthening the company’s balance sheet.
a2 markets its milk as a pure dairy product, including the A2 type of protein and without permeate and other additives.
Its shares gained 3% yesterday to close at $0.65.