The G8 Education Ltd (ASX: GEM) share price has recovered most of its losses from earlier this morning after it emerged from an extended trading halt.
A childcare centre operator, G8 Education first entered a trading halt on Wednesday last week citing problems with receiving money promised to it by CFCG Investment Partners International. While the investor successfully completed the first tranche (reaping G8 Education $63.8 million), the group missed the second and final payment of $149 million.
It has since agreed to pay G8 Education a fraction of that amount — just $31.8 million — with G8 Education electing to raise another $100 million by way of an institutional placement of shares instead.
Shortly after opening this morning, the G8 Education share price plunged as much as 9.6% to $3.12. However, it has since rebounded to $3.37, representing an intraday decline of just 2.3%.
Other shares that have fallen sharply today include Fortescue Metals Group Limited (ASX: FMG), down 4.9%, and St Barbara Ltd (ASX: SBM), down 6.2%.
