Wellington, July 25 NZPA - Transpacific Industries Group Ltd says it has issued $A20 million ($NZ26 million) worth of shares to "two sophisticated investors" to settle business deals.

Transpacific -- which merged with New Zealand company Waste Management and has since purchased a number of EnviroWaste assets in Australia -- issued 2,669,506 shares it told the ASX were valued at $A7.50 each.

Its share price on the ASX quickly fell by A19c (2.45 percent) to $A7.55. One year ago, the shares were $A14.45 each.

In March, Transpacific won tenders for Christchurch city's kerbside rubbish collection and the disposal of some kerbside waste from Auckland City Council.

The Christchurch City Council contracts for the collection of kerbside recyclables and refuse and processing of organic waste, are worth $NZ500 million in revenue over 15 years, and the three-year Auckland city contract is worth $4m a year to dispose of kerbside rubbish on Waiheke Island and Auckland's west.

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