IT entrepreneur Bevan Slattery's Megaport is seeking a $27.8 million equity injection via a two-part share placement.
Megaport shares went into a trading halt on Wednesday morning as its brokers RBC Capital Markets and Morgans Corporate launched the deal.
According to terms sent to fund managers, the brokers were seeking to raise $11.4 million in a non-underwritten placement to select cornerstone investors and another $16.4 million in an underwritter institutional placement.
New shares were being offered at $2.10 each, which was a 6.7 per cent discount to the last close.
The offers together represented 15 per cent of the company's shares on issue.
Proceeds were to help pay for Megaport's North American expansion and European network related capital expenditure, the brokers told clients.
Bids were due by 4pm on Wednesday.
Megaport had a $126 million market capitalisation prior to the offer. Its biggest shareholder and executive chairman, Bevan Slattery, has a 37.4 per cent stake in the network services company.
