A man looks Australian share prices displayed on a electronic board at the Australian Stock exchange in Sydney, 28 February 2007. Australian share prices lost 0.69 percent on 28 March with investors cautious amid concerns over Iran and the US economy, dealers said. The benchmark SP/ASX 200 index dropped sharply after lunch but rose slightly in the afternoon session to close down 41.0 points at 5,923.2. The broader All Ordinaries index fell 39.0 points to 5,913.3. AFP PHOTO/Anoek DE GROOT

Santos shares take hit after institutional offer

Australian independent Santos has successfully completed the institutional component of its A$2.5 billion (US$1.8 billion) entitlement offer but saw its share price take a dive in early trade.

12 November 2015 0:49 GMT Updated 12 November 2015 0:49 GMT

By Josh Lewis

Santos raised roughly A$1.17 billion through the institutional entitlement offer, with about 86% of entitlements available to eligible institutional shareholders taken up.

The shortfall in the institutional offer attracted a A$0.75 premium above the A$3.85 offer prices, clearing at A$4.60 per share.

“The successful uptake of the institutional entitlement offer is a clear sign of confidence in the package of capital initiatives Santos announced this week to strengthen our balance sheet and restore long term value for shareholders,” Santos chairman Peter Coates said.

Santos

Upstream is part of DN Media Group. To read more about DN Media Group, click here

Online

Santos shares take hit after institutional offer