KMD Brands tanks more than 50% after emerging from trading halt
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The news: Shares in embattled retailer KMD Brands cratered in morning trade after emerging from a one-week trading halt, as the Kathmandu and Rip Curl owner completed the institutional component of its NZD65.3 million ($54.2 million) equity raise, announced on Tuesday.
The numbers: KMD shares were down 55.5% to 6.9 cents at 11:40am AEDT.
The group raised combined gross proceeds of NZD44.2 million through a placement and institutional entitlement offer, discounted at 6 NZ cents per share.
The retail component of the entitlement offer will open on 7 April and is expected to raise gross proceeds of NZD21.1 million.
Investors were also reacting to KMD’s first-half results from earlier this week, which saw the group narrow its interim loss to NZD13.1 million from NZD20.7 million in the prior corresponding period.
The source: ASX
