JSE-listed Blue Label has raised gross proceeds of R900-million, before expenses, following the completion of an accelerated bookbuild offering of new ordinary shares.
A maximum of 72-million new Blue Label shares will be issued at a price of R12.50 a share, representing 7.6% of the ordinary issued share capital of Blue Label.
“There was strong demand for the bookbuild, which was considerably oversubscribed,” the company said in an update to shareholders on Tuesday.
The proceeds of the bookbuild will fund a portion of the balance payment of wholly-owned subsidiary The Prepaid Company’s R1.9-billion acquisition of 3G Mobile.