Allied Farmers shares fall 31pc

Allied Farmers shares have fallen 31 per cent after the company issued shares to former Hanover investors this morning.

Last week, Hanover and United Finance investors narrowly voted to accept Allied Farmers' swap of Hanover's loan book for Allied shares rather than put Hanover into receivership.

Allied Farmers has now issued 1.9 billion shares priced at 20.7 cents each to the approximately 16,400 new shareholders.

The move caused shares in the rural services company to drop 4.8 cents to trade at 10 cents.

Statements confirming investors' shareholding will be sent out this week.

- NEWSTALK ZB