Omnia shares down despite rights offer

The share price of Omnia Holdings slid 6percent despite it announcing it had raised R2 billion via a rights offer. Supplied
JOHANNESBURG – The share price of Omnia Holdings slid 6percent despite it announcing it had raised R2 billion via a rights offer, which would be used to repay its debt. 
The share price dipped to a low of R25.07 at 11.45am yesterday. The heavily indebted JSE-listed diversified chemicals group said it had completed the rights offer of 100million new ordinary Omnia shares at a subscription price of R20 per rights offer share. 
The rights offer was fully underwritten by a number of asset management companies whose clients were shareholders of Omnia, including Allan Gray, Coronation, Foord, Kagiso, Old Mutual and Prudential. 

Source: iol.co.za