Certified Organics’ Rights Issue Raises $1.2 Mil
Certified Organics’ Rights Issue Raises $1.2 Million
Statement made by Dr Earl Stevens, Chairman, Certified Organics Limited
Certified Organics raised $1.2 million from its one-for-one rights issue which closed on March 28, 2003, and has issued slightly more than 20 million new shares in the company at 6 cents each. Major shareholders, Rodney and Stuart Innes, who between them owned 35% of the company’s equity, took up their rights fully.
The Company has also advised that it proposes to make a placement of shares from the pool of some 7 million unsubscribed rights.
The funds raised will enable the company to move ahead with its growth plans.
Building on its recent success in New Zealand, the company plans to launch its range of products in Australia, and will progress the regulatory consents and registrations required to market its products in Europe and North America. In addition, the success of the rights issue will permit the retirement of approximately half a million dollars of debt to shareholders.
Given the current state of investor confidence internationally and in New Zealand, directors are encouraged by the support the rights issue received from shareholders and the market. It is a vote of confidence in the company and its future prospects.
In addition, Mr. Joe
Wallis has been appointed as the second non-executive
director on the board. Mr Wallis has become a major
shareholder during the last year through a series of
purchases and full subscription to his rights. He brings
solid experience in the New Zealand agricultural