GrainCorp's $100 million institutional placement is expected to close at a near 10 per cent premium to the bottom of the bookbuild range after strong demand from local and international institutions.
The Australian Financial Review reports that the bookbuild, being run by investment bank Credit Suisse, closed yesterday and is understood to have been been priced at just under the theoretical ex-rights price of $7.07 a share.
The placement was underwritten at $6.35 a share.
The $589 million capital raising, which includes a $489 million 9-for-10 accelerated renounceable pro-rata entitlement offer comprising a $220 million institutional entitlement offer and a $269 million retail offer, was announced this week in tandem with GrainCorp's purchase of United Malt Holdings (UMH).
Sources say there has been strong demand and that take-up under the institutional offer has been nearly 100 per cent.
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