Buderim Group has announced it is undertaking a capital raise up to $6.2m to fund its updated business plan as a health and plant protein company, anchored by its macadamia business.
In June, the company announced it had received an $8.3 million offer from Global Foods Group for its ginger business, as it looked to refocus on international expansion of its nut business.
Buderim Group ultimately sold to the Queensland-based Himstedt family for $13m in August.
The company will also be changing its name to Health and Plant Protein Group (HPP).
The capital raising comprises a share placement to raise roughly $2.2 million and a pro rata, non-renounceable entitlement offer to raise around $4 million.
The company is goal is to be a vertically integrated macadamia production, processing and brand, focused on the US market. It has 2.6 per cent of the world macadamia nut production and 35.5 per cent in the US.
It has two brands, its heritage brand MacFarms for snacks and confectionery and Royal Hawaiian Orchards which has FDA approval for the Heart Healthy Claim and tapping into the healthy snack market.
The funds will be used for capital expenditure, marketing, NPD and working capital.
The company’s largest shareholder, Asia Market Development, has advices it intends to take up its full entitlement (around $1.4 million).