Burger Fuel's initial public offering has failed to raise the minimum $8 million it needed to float on the share market but will still go ahead after its founding shareholders said they would make up the difference.
The offer, which was due to close yesterday, has been extendedfor a week. It has been promoted on TV and through Burger Fuel stores.
The company had aimed to raise $15 million, with a minimum subscription of $8 million.
Director Josef Roberts said yesterday he could not reveal how big the shortfall was but said he and founder Chris Mason would make up the difference.
"The founding shareholders of [Burger Fuel] have decided to subscribe for any shortfall in the public offer to ensure that the minimum level of $8 million is achieved," the company said in its application to the NZX for an extension.
"[Burger Fuel] believes that this information is significant to the investing public and that the offer period should be extended in light of this announcement."
The NZX agreed to extend the offer to July 23 and to push back the listing date by two days to July 27.
The burger chain, which has international ambitions, said in its prospectus that total sales in the March year rose 54 per cent to $16.4 million.
