Fletcher Building's boss says he is not keen to 'get greedy' on Gib prices this year, while Ryman Healthcare's boss explains what led to its surprise $900m capital raise.
Video / NZ Herald
Ryman Healthcare has completed its retail bookbuild, achieving just a 25 cent per share premium compared with the $1 achieved in the institutional bookbuild last month.
The $902 million one-for-2.81 rights issue was always going to be achieved because it was fully underwritten.
The $25m-worth of rights not taken upby retail shareholders, out of about $360m available, were auctioned at $5.25 per new share – those taking up their entitlements paid $5 per new share – and the 25c premium will be paid to those who didn’t participate on about March 14.
Those retail shareholders who applied for additional shares will receive all the shares they asked for, but institutional and broker bids will be scaled.
”We are very pleased with the level of support received across both the retail and institutional components of our equity raising and to be able to return a premium to shareholders who did not or could not participate,” said chief executive Richard Umbers.
In the institutional bookbuild, about 95 per cent of shareholders took up their entitlements.
”Proceeds from the equity raising enable Ryman to be well positioned to execute its growth framework and maintain the high standard of care it is known for,” Umbers said.
Ryman group chief executive Richard Umbers. Photo / supplied
All but $30m of the new capital, after paying about $30m of fees, will be used to repay Ryman’s two tranches of US private placements (USPP) with the costs of doing that early being about $134m.
