AACo considering capital raising

Group confirms reports it is considering raising to fund export expansion.

Australian Agricultural Company Ltd (AACo) has confirmed speculation it is mulling a capital raising share issue to fund the planned future expansion of its beef export business, The Australian reports.

According to the newspaper, AACo chairman announced the cattle group would release a statement to the market this morning which confirmed a share issue was being considered, and also noted that discussion with unnamed financial institutions had already taken place.

"We are obviously looking at the capital structure of the business and considering all of the options," Mr McGauchie said, according to The Australian.

"When we are in a position to have something to say, we will tell (the market); we have had some discussions with potential underwriters and sub-writers."