The company issued about 56.3 million shares at $7.10 each – a 2.6% discount to yesterday’s closing price – to sophisticated and professional investors.

Managing director Grant King said the positive response to the placement was a sign investors believed in the $1.2 billion acquisition of Sun Retail.

“The positive response confirms that investors recognise the importance of the acquisition for Origin and the benefits it will bring in terms of a more competitive cost position, access to additional growth opportunities and the securing of a leading position within the consolidating Australian and New Zealand energy markets,” he said.

King said Origin plans to conduct a share purchase plan in the first quarter of next year to allow eligible shareholders to acquire up to $5000 worth of shares.

Aside from the SPP and placement, the remainder of the acquisition will be funded via debt facility.

Yesterday, Origin announced it had signed a sale and purchase agreement for Sun Retail, which has about 833,000 mass market and small business customers in the high growth corridor in southeast Queensland.

King described the acquisition as a “unique opportunity” that would secure the company a leading position in the “continuing consolidation and integration of the Australian and New Zealand energy markets”.

He said the purchase will give Origin a very competitive cost position in retail, wholesale and production segments through the increased scale, diversity and integration of the business.

He also said it would be one of the most significant steps taken in the “continued development and growth” of Origin.