FOOD GROUP Aryzta, which earlier this week announced details of two major acquisitions, has raised $120 million through a placing of 3,312,290 new shares at 41.50 cent per share.

This means the company will now purchase Fresh Start Bakeries (FSB) by way of $880 million in cash and up to $20 million in Aryzta shares.

The company said that the $20 million equity consideration will facilitate certain FSB management who are currently FSB shareholders and wish to retain a portion of their equity interest.

The shares will be issued out of Aryzta authorised share capital.