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Huon Aquaculture raises $68m
Ashurst has advised Huon Aquaculture’s $68 million capital raising.
Tony Zhang
Firm: Ashurst (Huon Aquaculture).
Deal: Global law firm Ashurst has advised Huon Aquaculture Group Limited (Huon) on its $68 million capital raising.
Area: Capital raise.
Key players: The Ashurst team was led by partners John Brewster and Elspeth Arnold, who were assisted by lawyers Joseph Nguyen and Joe Ablitt.
Deal significance: Huon Aquaculture will use the funds to reduce net debt and strengthen its balance sheet and liquidity position. This will ensure the sea farmer is well positioned to meet the necessary capital requirements for the next 12 months.
The company faced a number of challenges in the 2020 financial year. This includes, but isn’t limited to, fish mortalities and a moon jellyfish boom.
“It was great to support Huon in executing a capital raising in this economic climate, which will [help set] the company up for more success in the future,” Mr Brewster commented.
Huon’s capital raising comprises a fully underwritten placement of new fully paid ordinary shares in Huon to raise approximately $64 million along with a non-underwritten share purchase plan targeting to raise approximately $4 million.
Huon also issued new shares with an aggregate value of approximately $1 million to eligible employees under a new employee incentive scheme. The new employee shares will be issued as part of each employee’s remuneration for the year.
The proceeds of the capital raising will be used to reduce net debt and strengthen the balance sheet of Huon.
