20 Mar 2009

Results of Nuplex share offer awaited

7:58 am on 20 March 2009

The outcome of Nuplex's capital raising will be known when the market opens on Friday.

The plastics maker had to extend its share offer after it failed to raise the money by the planned date this week.

Nuplex's brokers First NZ Capital said at 6pm on Thursday they could not comment on how much money had been raised.

Nuplex needs to raise $110 million as part of a banking agreement.

The company has been struggling to meet the conditions on its debt facilities. Its banking covenants were breached late last year after a sharp fall in the New Zealand dollar.

Bankers have agreed to relax its covenant ratios, on condition the proceeds of the capital raising are used to repay debt.

Nuplex is in a trading halt. It closed on Friday at $1.10 per share.