Rainbow share issue on target

Press, 7 March 1984, Page 27

Rainbow share issue on target

Rainbow Skifield Developments, Ltd, has achieved its initial target in a public share issue to guarantee continuing trading. The share issue was made in January, with the provision that 100,000 100 c shares be taken up by February 28. The resulting $lOO,OOO from this initial target was critical for the continued development of the skifield and for a scheme of financial reconstruction between the company and its creditors. The scheme, which will involve the issue of 100,000 shares at 10c each to the creditors, could not proceed unless the initial target was reached. A director of Rainbow Skifield, Mr D. C. Holden,

said yesterday that the initial subscription of 100,000 shares meant that the skifiqjd would be open this season. The field, near Lake Rotoiti, first opened in 1982. In a statement yesterday, the directors said: "The cost of past development and the conditions of the scheme of financial reconstruction have been satisfied. Every share issue purchased from now on will be devoted to the development of the whole ski area.” The main target of 250,000 shares could be achieved “if the present enthusiasm and support shown from Marlborough, Nelson and Wellington, is any indication of the public confidence in the development.”