Rakon shareholders offered new shares

Shareholders in listed tech company Rakon will be able to buy up to $5000 of new shares at $4.05, the same price offered to institutional investors at its recent initial placement.

Rakon shares closed yesterday at $4.47.

The share expansion is to help pay for the proposed acquisition of the Frequency Control Products business of C-MAC Micro Technology announced this month.

Funds raised will be used to fund further capital expansion, Rakon said.

Managing director Brent Robinson said a lot of smaller investors had been with the company from the beginning and "we felt it was important that we find a way for them to be able to benefit from our growth plans".

- NZPA