One of AIM's best performing stocks since listing gave back some of its gains this morning after announcing its intention to raise up to £30 million. Asian Citrus (AIM:ACHL) said that is wanted to raise up to £18 net of expenses and that certain shareholders intended to dispose of up to £10 million in equity.
The funds will be used to develop a new plantation in Hunan province, enter the juicing business and invest in the existing business.
"The Directors believe the Company is poised for a phase of significant development and growth. This belief is underpinned by the increasing consumption of oranges in the PRC and the growing demand for high quality oranges. The proceeds from the Placing will enable the Group to take advantage of the opportunities to build on its market-leading position and further improve its growth prospects." commented Tony Tong, Chairman.