The company said it was aiming to raise $200m from institutional shareholders when it announced the plan early last week, but a submission to the Australian Stock Exchange (ASX) yesterday revealed that it had managed to raise only $150m.

The company has now reduced the target for the retail component of its capital-raising initiative from $100m to $77m, with the retail offer opening yesterday.

PaperlinX shares have subsequently plunged 39 cents, or 22 per cent, to a record-low $1.36.

PaperlinX currently owns Tasmania’s Wesley Vale and Burnie paper mills, though the company recently announced it was looking for potential buyers for these mills.

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