$500m Lihir placement completeMarch 5, 2009 Lihir Gold has...

$500m Lihir placement completeMarch 5, 2009
Lihir Gold has raised $500.77 million ($US325 million) from a placement of shares to institutions.

Lihir had offered shares at $3 each, a discount to its last closing price of $3.31 on Monday.

The company's shares dropped 31 cents, or 9.4%, to close at $3.00.


The company said the placement attracted strong interest from domestic and international institutional investors.

"This is an excellent outcome," chief executive Arthur Hood said in a statement on Thursday.

"The company is well positioned to accelerate the million ounce plant upgrade at Lihir Island and to take advantage of opportunities that arise to develop out operations in West Africa."

Under the placement the company will issue about 172 million shares.