Beach Energy has seen a 19 per cent price spike this morning after resuming trading.
This spike has been driven by near-unanimous support for the company’s Institutional Entitlement Offer, which recorded a take-up rate of 98 per cent.
The movement marks a nine month high, and follows its recent $1.6b acquisition of Lattice Energy.
It recorded an 18.88 per cent in price this morning, as it announced the successful completion of its institutional offering, raising $201 million of its targeted $301 million.
This was due to its major shareholder, Seven Group Holdings, pre-commitment to its full equity entitlement and SGH’s sub-underwriting the offer.
Beach Energy chief executive Matt Kay said the company was extremely pleased with its institutional shareholders support of the Lattice Energy acquisition.
“A near record institutional take-up level of over 98 per cent demonstrates this, and is an endorsement of the transaction’s compelling logic,” Mr Kay said.
Beach is now focused on raising the remaining $100 million through its 3 for 14 accelerated non-renounceable pro-rate entitlement offer, which will open on Thursday.
The company has been the ASX’s top performer today.