Rubicon is to strengthen its financial position by offering extra shares to investors.
Under the proposed deal, Rubicon will offer shareholders 1 share for every three held at a price of 22 cents each.
That would raise about $NZ21 million.
The company says its largest shareholder, David Knott, and other investors, which together hold 31% of the company, will take up the offer.
Rubicon will also extend its existing $US20 million banking facility.