Rapidly growing construction group Basil Read hopes to raise close to R110m through a claw-back offer, details of which were released on Thursday.

The group is looking to raise funds to support its fast-growing order book buoyed by intensified government and private sector spending after several "dry" years.

Basil Read's order book value jumped to R1,5bn in June this year compared with R280m in the same month last year.

It had grown by another R500m to reach R2bn last month.

The group expects strong growth experienced in the past few months to continue in the mid to long term.

The group, which reported a 239% increase in interim earnings a share last month, is investing substantially in plant and equipment to execute new orders.

Basil Read is not only growing organically, but also expanding through acquisition.

In the six months ended June, it increased its shareholding in associate companies BR-TsimaConstruction and Newport Construction. It also acquired majority stakes in bitumen supplier and sprayer Spray Pave and stone crusher Stone and Allied Industries.

These acquisitions were funded out of cash resources on hand.

Basil Read said on Thursday that it would offer for subscription more than 15-million rights shares at an issue price of 725c in the ratio of two rights shares for every 100 Basil Read shares held by shareholders.

A claw-back offer effectively amounted to a fully underwritten rights offer, said the company.

The claw-back offer proceeds of R109,6m would be paid to Basil Read by the subscribers - Industrial Development Corporation, Stanlib Asset Management and Praesidium Capital Management - against the conditional allotment of new shares in the company .

Shareholders could then "claw back" shares allocated through an entitlement to subscribe for such shares from the company in proportion to their existing shareholdings or to sell or renounce such rights.

Shares not acquired pursuant to the claw back would be issued to the subscribers.