Southern Cross Media has successfully completed its equity raising, giving it an expanded war chest of $169 million to see it through the Corona virus crisis.
In an announcement to the stock exchange today, SCA said it used the ‘class waiver’ that has been made available during the pandemic to allow companie to move quickly on extra share placements.
The equity raising was managed by Macquarie Capital and offered to existing institutional and sophisticated shareholders. Institutional shareholders took up about 92% of the offering.
A notice of Changes to Directors Interests shows that CEO Grant Blackley’s superannuation fund acquired over 1 million more shares for about $93,000, indicating his confidence in the company. Other directors also took up the share offer.
Shares in the company closed today at 13 cents per share, a drop of 80% from previous highs around $1.00 a year ago, before the pandemic.
Share % change chart (5 years)
SCA has successfully registered 1,750 staff for the JobKeeper alowance, ensuring they can remain employed during the pandemic, even if their workload falls. Despite rumours to the contrary in some other publications, SCA has not retrenched any staff.