NZ's Silver Fern Farms to raise capital

WELLINGTON, July 1 (Reuters) - New Zealand meat processing co-operative Silver Fern Farms is going to its farmer shareholders to seek additional capital, the company said on Wednesday. Silver Fern Farms said it would raise the capital through a bonus issue, with the funds used to support its strategic initiatives and to strengthen its balance sheet.

A NZ$220 million ($142 million) proposed merger with rural services provider PGG Wrightson PGW.NZ failed last November, after PGG Wrightson was unable to raise the necessary funds. ($1=NZ$1.55)