Australia's Metcash drops on completing discounted placement

Metcash

06/02/2024 24:37

** Shares of Australian supermarket wholesaler Metcash Ltd
 MTS.AX  fall as much as 4.7% to A$3.47, set for biggest daily
drop since Dec 5, if trend holds
    ** Stock hits lowest level since Jan 5 
    ** MTS says completed A$300 mln ($194.40 mln) placement by
issuing 89.6 mln shares to investors
    ** Placement at an issue price of A$3.35/share represents a
discount of 8.7% to stock's last closing price of A$3.64 on Jan
31
    ** Brokerage UBS cuts earnings per share (EPS) forecast for
MTS for FY24 by 1.8% after placement 
    ** Also lowers PT to A$4.00 from A$4.10 
    ** More than 4.4 mln shares change hands, vs the 30-day
average volume of 3.1 mln shares
    ** Stock up 4.3% this year, as of last close

($1 = 1.5432 Australian dollars)

 (Reporting by Poonam Behura in Bengaluru)
 ((Poonam.Behura@thomsonreuters.com;))