Published 6 June 2012
NZX-listed shell company Veritas Investments Ltd got 83% support for its 2:1 rights offer, which closed last week.
Independent chairman Mark Darrow said yesterday the issue raised $700,000 of new share capital for the company, increasing share capital by 165% and providing the working capital to pursue the investigation of suitable businesses for it to acquire.
New shares taken up under the rights issue are expected to be allotted on Friday and to start trading on the NZX next Monday. Following allotment, the number of shares on issue will increase from 20.9 million to 55.5 million.
Given the positive response, Mr Darrow said the directors had elected not to place the unexercised rights.
All 3 founding directors of the company under its new name participated in the rights issue. Tim Cook & associate Collins Asset Management Ltd will remain the cornerstone shareholders with a combined 19.99%, managing director Simon Wallace will have 15.74% and Mr Darrow has increased his shareholding to 4.99%.
Veritas took over the listed shell of Salvus Strategic Investments Ltd, changing its name & control on 12-13 March.
4 April 2012: Veritas gets waiver while it hunts for new business
U: The names behind the action, the week to 18 March 2012, part 4, Salvus Asset Management closes after new investors buy listed shell, rename it Veritas
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Attribution: Company release, story written by Bob Dey for the Bob Dey Property Report.