Australian Agricultural Company Limited
(ASX:AAC) has completed a significant equity raising, doubling its capital base as the company targets an Asian expansion strategy including a move into full-scale meat processing for the export market.
The company’s capital raising made about $219 million, while the institutional offer raised about $129 million.
Aaco’s CFO and acting CEO Craig White says the capital raising will significantly strengthen the company’s balance sheet , support the refinancing of existing debt facilities and provide financial flexibility to execute Aaco’s strategy on an accelerated basis.
Australia's biggest landholder and beef producer previously ruled out a split of its $600 million pastoral holdings from the beef production business, promising instead to secure higher and more stable prices for export beef.
AACo posted a net loss of $46.4 million on March 31, 2013.
