Capital Raise – Ryman moves to strengthen balance sheet

Ryman Healthcare Limited is raising $902 million through a 1 for 2.81 accelerated pro rata entitlement offer of new ordinary shares to reset its capital structure, strengthen its balance sheet and enable the company to execute its growth framework.

The offer is open to eligible shareholders in New Zealand, Australia and a limited number of other jurisdictions, and will allow Ryman to repay debt and reduce pro-forma gearing from 45.3% to 33.9%.

CEO Richard Umbers said the steps announced will mean the company is well capitalised to meet increased demand for the Ryman way of life, while also increasing cash flow generation and shareholder returns.