SPC Global (ASX: SPG) has launched a fully underwritten $100 million equity raising, with the bulk of proceeds earmarked for net debt reduction as the company works to reset its balance sheet less than 18 months after listing on the ASX.
The raising comprises a $2.9 million placement to institutional and sophisticated investors and a $97.1 million pro rata renounceable entitlement offer to existing shareholders, with new shares priced at $0.10 each.
That offer price represents a 71 per cent discount to SPC Global’s last traded price of $0.345 on 4 May 2026 and a 28.4 per cent discount to the theoretical ex-rights price of $0.14.
The company’s net leverage ratio is expected to fall from 3.9x to 1.11x on a pro forma basis as at 31 December 2025, and annual interest expense on banking facilities is projected to drop from approximately $15 million in FY26 to between $4.5 million and $5 million post-raise.
SPC Global managing director, Robert Iervasi, said the raise would strengthen the company’s balance sheet and position the business for its next phase.
Iervasi said margins were improving, channel mix was favourable, and international expansion was tracking to plan. He framed the balance sheet reset as necessary to unlock investment capacity across manufacturing, people, and brands.
SPC Global listed on the ASX in December 2024 as a merged entity bringing together SPC, The Original Beverage Co, and Nature One Dairy.
At listing, the combined group was trading at around $1.40 per share with a market capitalisation of roughly $270 million. The four businesses had been brought together with a projected revenue run-rate of more than $400 million and a targeted FY25 EBITDA of $29 million.
In its 1H26 results reported in March, the group confirmed a “material improvement in profitability” for the six months to 31 December 2025, with normalised EBITDA rising to $13 million from $7.5 million in the prior corresponding period. The company reiterated guidance for a 25 per cent year-on-year increase in normalised EBITDA for FY26.
The equity raising follows a $20 million notes issue earlier in FY26, which Iervasi said at the time would support factory consolidation between Mill Park and Shepparton, targeting annual savings of $4-$5 million. The notes issue was the company’s first, used to provide working capital flexibility within debt facilities of up to $160 million.
The entitlement offer opens 22 May 2026 and closes 2 June 2026. Eligible shareholders in Australia and New Zealand as at the record date of 19 May 2026 will be invited to subscribe for one new share for every 0.1993 shares held. Entitlements may be traded on the ASX. Any shares not taken up will be sold through a shortfall bookbuild on 5 June 2026.
Joint lead managers, underwriters and bookrunners are Unified Capital Partners and Gleneagle Securities. Iervasi said he intends to take up his full entitlement; chair Andrew Reitzer has committed to subscribe for $100,000 of new shares on the same terms as the placement, subject to shareholder approval at the 2026 AGM expected in November.
Normal trading in new shares issued under the entitlement offer is expected to commence 11 June 2026.
