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- Release Date: 03/03/14 11:21
- Summary: GENERAL: NZR: Refining NZ announces equity capital raising
- Price Sensitive: No
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NZR
03/03/2014 09:21
GENERAL
REL: 0921 HRS The New Zealand Refining Company Limited
GENERAL: NZR: Refining NZ announces equity capital raising
NZX announcement
Refining NZ announces equity capital raising
The New Zealand Refining Company Limited (Refining NZ) (NZX:NZR) is pleased
to announce that it has after the market closed on Friday placed $48 million
of shares to institutional and habitual investors at an issue price of $1.68
per share.
While current debt funding lines are expected to be sufficient to fund all
expected capital expenditure, refining margins and the USD/NZD exchange rate
are volatile. The capital raising will provide additional funding flexibility
for Refining NZ, while improving the stocks free float.
"The combination of the placement and the underwritten component of the share
purchase plan is a prudent move by the board to manage our balance sheet
while we face lower New Zealand dollar refining margins coupled with the
construction of Te Mahi Hou" said Chairman David Jackson.
Settlement of the placement and allotment of the new shares will take place
on Thursday, 6 March 2014.
As part of the capital raising, Refining NZ will also conduct a share
purchase plan (SPP) for New Zealand shareholders. Under the SPP, shareholders
will be invited to subscribe for up to $15,000 of new ordinary shares. The
issue price under the SPP will be the lower of $1.68 and the average end of
day market price of Refining NZ's ordinary shares on the NZX Main Board over
the 5 trading days before the closing date for the SPP.
The key dates for the SPP are:
o record date: 12 March 2014;
o opening date: 17 March 2014;
o closing date: 9 April 2014; and
o allotment date: 14 April 2014.
The SPP documentation will be distributed to shareholders in due course.
The placement was managed and underwritten by First NZ Capital Securities
Limited (First NZ Capital). The SPP is underwritten to $5 million by First NZ
Capital.
ENDS
For further information contact:
Greg McNeill
Communications and External Affairs Manager, Refining NZ
T: 09 432 8311
M: 021 873 623
E: [email protected]
End CA:00247723 For:NZR Type:GENERAL Time:2014-03-03 09:21:56
