Synlait's first hurdle cleared, 'heavily dilutive' capital raising next to come

Fri, 12 Jul 2024

Synlait's first hurdle cleared, 'heavily dilutive' capital raising next to come

(Image: Synlait)

Getting the stamp of approval for the crucial loan from its largest shareholder is the first step in resetting Synlait’s balance sheet, its chair says.The debt-laden milk processors' minority shareholders voted in favour, with 99.5% support, of Bright Dairy’s $130 million loan to ensure it can make its debt repayment on July 15.The market responded positively to the move and closed up 23% to 32 cents, though the wider context is the shares were valued at above $10 in 2019.Now the company is working on an equity raise, details of...

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