Seven West Media stops trading on ASX while it seeks to raise $440 million

Seven West Media has suspended trading on the Australian Securities Exchange while it attempts to raise capital of $440m to pay off part of Seven’s $1.875bn net debt.

The television network intends to raise the capital by selling new Seven West Media shares at $1.32 each, a discount on the current all time low trading price of $1.62.

A statement from SWM said that earnings before interest and tax remain in line with the organisation’s previous gloomy market update. It said:

“SWM Directors now expect FY12 full year underlying operating EBIT to be approximately $473m, slightly above the previous guidance of $460m to $470m, subject to any year-end review and audit adjustments including, but not limited to, non-cash impairment assessments.”