Curro Holdings: R740m rights offer to raise capital

CURRO Holdings planned to raise about R740 million through a rights offer issue of 29 million new ordinary shares at R25 apiece, the company said yesterday. Curro, which manages and own private schools, said yesterday the purpose of the rights offer was to provide the group with additional capital to finance the development of new schools and expansion and improvement of existing campuses. The group said the capital raised would also increase its capacity and take advantage of new opportunities that the market presents. “Furthermore, a portion of the rights offer proceeds will be used to reduce certain of Curro’s existing debt and credit facilities, and in doing so retain a conservative amount of gearing,” said the company. Curro’s share price yesterday eased 3.77 percent at R33.20. – Nompumelelo Magwaza