Gloucester Coal Ltd (ASX:GCL) will launch a rights issue today to fund their acquisition of Donaldson Coal and private coal play, Monash.
The issue will be about $230 million, with the purchase price for Donaldson reported by the Australian Financial Review to be about $585 million, and Monash about $30million.
On Friday, the company requested the Australian Securities Exchange suspend the company’s securities, pending today’s announcement.
Gloucester Coal reported a net profit of $23 million for the half year ended December 31, 2010.
