Ausdrill has annouced that it is seeking to raise $149.5 million in capital.
The contract drilling company will raise this through a share placement of 37 million shares at $3.50 each and share purchase plan to raise an additional $20 million.
It will use the capital raised to fuel growth and to purchase extra equipment and drill rigs needed for its projects over the next 12 months.
Ausdrill will also use the funds to develop its African Underground Mining Services joint venture with Barminco.
Wal King has also joined Ausdrill, taking on the role of deputy chairman.
Current chairman Terence O’Connor stated that “it is a significant step for Ausdrill to secure the services of a person who is acknowledged as one of Australia’s finest business leaders.”
King, who has worked in construction and contract mining sector for more than four decades, most recently held the position of chief executive at Leighton Holdings.
He is also a director of Coca-Cola Amatil.
King’s appointment as deputy chairman and non-executive director brings the total number of directors on the Ausdrill board to six, five of whom are non-executive directors.