Veritas Investments expects to register a prospectus this week to raise up to $25 million to part fund its acquisition of the Mad Butcher.
Veritas, which is already listed on the stock exchange, announced in December it would buy the butchery business in a deal worth $40 million.
Chairman Mark Darrow said in a statement to the exchange that the shares would be offered at $1.30 each - a 14.8 per cent premium to the volume weighted average price for the three months prior to the acquisition being announced.
The price is 29 per cent below the price Veritas stock last traded at, of $1.82.
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Retail investors will only be able to buy the shares prior to the listing if they are clients of an NZX broking firm and are New Zealand residents.
A priority pool of up to $3 million will also be reserved for New Zealand resident shareholders of Veritas who were on the share register as of February 22 and to existing Mad Butcher franchisees.
Darrow said Veritas has begun a book build process with institutional investors and NZX broking firms to allow indications of how many shares they would like to purchase.
Broking firm Craigs Investment Partners is underwriting $12.7 million of the share sale and has gained sub-underwriting agreements with Collins Asset Management, a company associated with director Tim Cook, for $2.5 million, and from RMI Holdings, associated with director Phil Newland, for $2 million.
The company has already received firm commitments for $10.2 million of shares, it said earlier this month.
The offer will open during April and remain open until early May. Veritas may also decide to close it early.
Darrow said the offer was subject to Veritas shareholder approval and a meeting would be held in late April to seek approval.