Strong demand from investors has prompted the world's largest producer of confectionery ginger to extend a share purchase plan that was devised to help the company implement existing plans and acquire further interests.
In an announcement to the Australian Stock Exchange, Buderim's chairman, John Ruscoe, said that the company was "delighted" with the level of stockholder interest and had "changed the terms and conditions of the share purchase plan so that shareholders have a further opportunity to participate".
And that comes despite Mr Ruscoe's recent assertion that if the company's flagging fortunes did not improve, Buderim could be privatised.
A strong Australian dollar has recently undermined the company's export capacity and eaten into Buderim's bottom line, at a time when low rainfall has affected the quality and volume of the ginger crop.
In 2003, revenue rose slightly but profitability declined sharply, falling 34.5 per cent year on year to $504,000.
The company, based on Queensland's Sunshine Coast, plans to use the cash raised to upgrade its main manufacturing facility at Yandina and to develop a tourist attraction at the same site.
The company also said the share purchase plan could boost liquidity in the stock by giving investors with a less-than-marketable parcel of shares - under $500 worth - the opportunity to increase their holdings.
Under the altered arrangements, the company will issue new shares equivalent to 15 per cent of those already on issue.
Originally the offer had been capped at $750,000 in total and was well oversubscribed. By last week, the company had received applications for shares equivalent to 10 per cent of those already issued, worth a total of $1.32 million.
The stock was offered in parcels worth up to $5000, at a 7.5 per cent discount to the market price and free of brokerage, commission and stamp duty.
The company said that if the revised offer were also oversubscribed, the board would use its discretion to scale back the applications.
The offer closes at the end of next week. On Friday Buderim shares closed 1c higher at 65c.