Allotment of New Partly Paid Ordinary Shares
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Life Pharmacy Limited (LPL) | 11:20 am, Thursday 18 September 2008 | LPL | 0.460 |
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Life Pharmacy Limited - Allotment of New Partly Paid Ordinary Shares
18 September 2008
Life Pharmacy Limited (NZX: LPL) today announced that its offer of ordinary
shares pursuant to the combined Short-form prospectus and investment
statement dated 21 August 2008 has raised a total of $11.6 million for the
company, and as a result the company has today allotted 29,004,631 partly
paid ordinary shares. 50% of the amount raised was payable upon allotment of
the partly paid ordinary shares with the remaining 50% payable one year
following allotment.
The Rights Issue was fully supported by LPL Trustee Limited. By exercising
its option approved by LPL shareholders on 26 July 2007, LPL Trustee Limited
has acquired a total of 27,068,975 shares in LPL, taking its total holding to
50.01% of the total shares on issue in LPL immediately following the
allotment of shares under the Rights Issue.
LPL Chairman, Liz Coutts said: 'The amount of funds raised in the Rights
Issue is above expectations announced on 7 August 2008. We are delighted to
have the commitment from LPL Trustee Limited, which is backed by Andrew
Bagnall. With the funds now available, a strong board and management team,
and a cornerstone investor the company is now well placed to leverage the
opportunities within the Health, Beauty and Wellness sector in New Zealand.'
In previous announcements the board outlined the plans for the net proceeds
of the offer including:
- reducing LPL's external bank debt in the currently restricted credit
market;
- providing adequate resources for future growth and working capital in the
health, beauty and wellness sector; and
- investing in the future growth of pharmacy within New Zealand.
The partly paid shares from the Rights Issue will trade separately (NZSX
code: LPLCA) for the full year until they are fully paid, at which time they
will convert to fully paid ordinary shares.
Ends
About Life Pharmacy
Life Pharmacy Limited owns the Life Pharmacy and Care Chemist brands and
holds a 49 percent shareholding in 19 pharmacy companies, representing 22 of
the 36 Life Pharmacy and Care Chemist stores. The Company also operates 2
Life Outlet stores and is franchisor to 10 Care Chemist branded pharmacies
operating throughout New Zealand. Stores are located in Auckland, Hamilton,
Bay of Plenty, Wellington and Christchurch.
For further information contact:
Liz Coutts?Chairman?Life Pharmacy Limited?021892220
Philip Ingham?Chief Executive Officer?Life Pharmacy Limited?02102007183
