Tower shares at record low on concern new capital may be eroded by ongoing quake claims

Tue, 14 Nov 2017

By Paul McBeth Nov. 14 (BusinessDesk) - Tower shares fell to a record low as investors weigh up whether the $70.8 million of new capital they're being asked to provide will provide enough of a buffer against lingering Canterbury earthquake claims that have repeatedly surprised the insurer. The stock fell as low as 64 cents, the lowest since Tower listed in 1999, and was recently down 7.9 percent at 70 cents after the insurer announced plans to sell shares at 42 cents apiece in a fully underwritten one-for-one pro-rata renounceable entitl...

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