Private-label chocolate manufacturer Natra is to issue over EUR42m (US$59m) in shares to fund investment and cut debt.

The company said yesterday that it planned to raise EUR42.6m through the issue of 16.1m shares.

Shares will be offered at EUR2.65 each in a ratio of two-to-one, a move that will boost Natra’s capital by 50%.

New investors will be able to buy up shares if current investors do not move for all the new stock, Natra said.

Natra is set to buy Stollwerck, the European consumer chocolate business owned by Swiss business-to-business firm Barry Callebaut.

The deal is expected to be wrapped up by the end of the month.