By NATION Reporter 

A media company managed to raise Sh306 million in a rights issue that was undersubscribed by 32 per cent.

The amount realised by the Standard Newspapers Group translates into 68 per cent of the possible amount.

The issue became the third to be undersubscribed on the Nairobi Stock Exchange after Mumias Sugar and Industrial Commercial Development Commercial Investment (ICDCI).

All applicants will be allocated their rights shares in full. 

The firm now has issued and fully paid-up capital, in ordinary shares of Sh5 par value, of Sh325.7 million and expects to return to the Main Investment Segment of the NSE from the Alternative Segment, where it has been trading.

Some Sh123.6 million in loans, owed to its main shareholder, SNG Holdings – with 69.2 per cent holding– will be converted into equity, according to a statement. The rest will be put into expansion.

CFC Financial Services was the issue adviser.