News: GEM G8 Education Announces Fully Underwritten Equity Capital Raising Of $301 Million

April 9 (Reuters) - G8 Education Ltd (GEM) :

• G8 EDUCATION LTD - ANNOUNCES A FULLY UNDERWRITTEN EQUITY CAPITAL RAISING OF $301 MILLION
• G8 EDUCATION LTD - ALL SHARES UNDER PLACEMENT AND ENTITLEMENT OFFER WILL BE ISSUED AT A FIXED PRICE OF $0.80 PER SHARE
• G8 EDUCATION LTD - EQUITY RAISING TO RESULT IN ISSUE OF ABOUT 377 MILLION NEW FULLY PAID ORDINARY SHARES AT FIXED PRICE OF $0.80 PER NEW SHARE
• G8 EDUCATION LTD - WAGE CASH COSTS INCURRED BY G8 WILL BE REDUCED THROUGH JOBKEEPER PROGRAM
• G8 EDUCATION LTD - ESTIMATES $23 MILLION AVERAGE MONTHLY REDUCTION OVER COURSE OF COVID‐19 DISRUPTION PERIOD
• G8 EDUCATION LTD - INITIATED DISCUSSIONS REGARDING TEMPORARY RELIEF OF RENTAL COSTS
• G8 EDUCATION LTD - EXPECTS TO RECEIVE A LEVEL OF COMMERCIAL SUPPORT FROM ITS LANDLORDS THROUGH THIS PERIOD OF DISRUPTION
• G8 EDUCATION LTD - WILL DEFER ALL NON‐ESSENTIAL CAPEX AND PURSUE REDUCTIONS IN VARIOUS OVERHEAD COSTS
• G8 EDUCATION LTD - EXPECTED THAT ANNUAL CAPEX WILL REDUCE FROM $40 MILLION TO $25 MILLION, WHILE OPEX WILL BE RESTRICTED TO CRITICAL OPERATIONAL ITEMS
• G8 EDUCATION LTD - G8 DIRECTORS HAVE RESOLVED TO REDUCE DIRECTORS' FEES BY 20% THROUGH TO 30 SEPTEMBER 2020
• G8 EDUCATION LTD - G8 HAS TEMPORARILY SUSPENDED DIVIDENDS, WITH EXCEPTION OF DEFERRED CY19 FINAL DIVIDEND
• G8 EDUCATION LTD - DOES NOT EXPECT TO DECLARE OR PAY A DIVIDEND IN RESPECT OF CY20