‘Desperate times’ for Omnia as it offers shares at hefty discount
Struggling chemicals company to issue 100-million new shares at R20 each — a 41% discount to Thursday’s share price
12 August 2019 - 18:59
Debt-laden chemicals and fertiliser maker Omnia opted to set the rights issue at a discounted price to attract enough uptake, analysts said on Monday.
Omnia’s shares slumped as much as 8.6% in early trade on Monday after the company announced plans to issue 100-million new shares at R20 per share as part of a rights issue meant to ease the firm’s debt woes. Omnia’s shares closed 1.47% weaker on the day at R33.57. The R20 a share offer is a hefty 41% discount to Thursday’s share price of R34.07...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.