Hastie Group (ASX:HST) has announced a fully underwritten $160 million equity raising.
The building services company says the offer includes the investment of private equity funds managed by Lazard Australia Private Equity, and will be applied to repay up to $145 million of bank debt.
Hastie CEO David Harris says the equity raising will provide the company with improved financial flexibility, and sufficient capacity to deliver on its current order book.
Last year, the company posted a gross bank debt of $274 million, and suspended shares in February.
In the first half of the 2011 financial year Hastie Group recorded a net loss of $94.3 million, falling from a profit of $22 million the same time a year earlier.
