Packaging company Smurfit Kappa said it has raised about €660m through the placing of new ordinary shares.

The equity raising exercise was open to new and existing investors.

Smurfit Kappa said that a total of 19,411,765 new ordinary shares were placed at a price of €34 per share, and represent about 8.1% of the company's issued share capital.

The company said it made the move as there was an opportunity to accelerate its vision by capitalising on the trends in e-commerce and sustainability that are creating significant opportunities for the business.

"Our strong track record of delivery has resulted in the Group being very well-positioned to capitalise on structural growth opportunities," said Group CEO Tony Smurfit.

"From this position of strength we are now focused on investing to strengthen the business and accelerating our vision."

"Net proceeds from the placing, together with internally generated cash flows, will enable us to accelerate investment over the next three years, and enable us to deliver for our customers with enhanced financial flexibility."

He added that accelerating investment will allow the company to increase its competitive advantage, align with the sustainability goals of customers and enhance its operational efficiency.

The group said it has identified €1.2 to €1.4 billion of investment opportunities, which it believes will strengthen the business for the long-term.

The new shares will not be eligible for the recently declared interim dividend of 27.9 cent per share that is payable on December 11.

Credit Suisse Securities, Davy and BNP Paribas acted as joint global co-ordinators and joint bookrunners for the placing.