Smiles launches issue in search of $8m to help turnaround
Troubled Gold Coast dental group Smiles Inclusive will go to the market to raise $8 million through a fully underwritten rights issue.
Smiles has been served with documents ordering it to provide its missing accounts.
The issue will be at 2.5 cents a share and is expected to be completed in early December.
Smiles has been fighting off a revolt from a group of shareholders who want to overthrow the board and a shareholder meeting is scheduled for October 23.
ASIC has also filed proceedings in the Magistrates Court seeking orders for Smiles to lodge its accounts.
Smiles said today that it is finalising its banking arrangements with NAB.
Chairman David Usasz said the recent progress in turning around the business had been instrumental in allowing Smiles to sign an underwriting agreement with Aitken Murray Capital Partners.
Chief executive Michelle Aquilina said the capital raising will help the company execute its improvement strategy.
“It adds real momentum to the turnaround that we are currently working on,” she said.
