Karoon Gas Australia Limited
(ASX:KAR) has successfully raised $150 million through an underwritten placement, helping to shore up its balance sheet amid farmout talks.
The underwritten placement is priced at $5.10 a share, an 8.9 per cent discount to the last trading price of $5.60 on August 6.
Executive Chairman Robert Hosking says the placement had strong interest from new and existing investors.
Karoon says the placement will support its rig contract and farmout negotiations as well as fund drilling in the Browse Basin and Brazil's Santos Basin and Peru.
As a result of the placement, Karoon has $320 million in cash and remains free of debt.
Karoon booked a net loss of $8.7 million in the first half of fiscal 2013.
