Tue | Sep 17, 2019

Barita targets $3.5b from another rights issue

Published:Sunday | August 25, 2019 | 3:32 AM

 

Barita Investments Limited, which offers wealth management, brokerage and investment banking services, plans to raise $3.5 billion in its second rights issue for the year. 

The offer runs from September 2 to 13. 

The company will issue 11 new shares per 100 units held by existing shareholders at a price of $45 per unit, or roughly half the BIL stock’s trading price up to mid-week. The stock dipped to $72.23 on Friday.

The value of Barita’s shares have increased nearly tenfold since its takeover last September by private equity firm Cornerstone Investments. The company subsequently raised $4 billion in its initial rights issue in January.

Barita’s equity base has also tripled in the past year, from $3.2 billion to $9.3 billion in the quarter ending June. 

steven.jackson@gleanerjm.com