Ann: RIGHT: KPG: 1 for 9 entitlement offer to raise $151.9 million

• Release Date: 18/05/15 08:33
• Summary: RIGHT: KPG: 1 for 9 entitlement offer to raise $151.9 million
• Price Sensitive: No
• Download Document  4.18KB

					KPG
18/05/2015 08:33
RIGHT
PRICE SENSITIVE
REL: 0833 HRS Kiwi Property Group Limited

RIGHT: KPG: 1 for 9 entitlement offer to raise $151.9 million

NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES

Kiwi Property is pleased to announce that it is raising approximately $151.9
million of new equity through an accelerated entitlement offer (Offer), fully
underwritten, at an issue price of $1.20 (ex-dividend) per new share.  The
issue price reflects a 7.1% discount to the volume weighted average price
[NOTE 1] for the last five trading days prior to 18 May 2015.

NOTE 1: The volume weighted average price is $1.292.

Under the Offer, eligible shareholders will be entitled [NOTE 2] to acquire 1
new share for every 9 existing shares held on the record date, 20 May 2015.

NOTE 2: Entitlements will not be rounded up to a minimum holding.  The number
of new shares to which an eligible shareholder is entitled will, in the case
of fractions, be rounded down.

The institutional component of the Offer will be accelerated and occur over
the two business days immediately after the Offer is announced, with
settlement and allotment of new shares to occur on 2 June 2015.

The retail component of the Offer will open to eligible retail shareholders
with a registered address in New Zealand on 21 May 2015 and close on 9 June
2015, with settlement and allotment of new shares to occur on 16 June 2015.

Under the Offer, there is no rights trading.  Instead, new shares not taken
up or attributable to ineligible shareholders will be offered to
institutional investors through bookbuilds run by the Joint Lead Managers.
Any premium achieved above the application price for the new shares in the
bookbuilds will be shared on a pro-rata basis (with no brokerage costs
deducted) between those shareholders who do not exercise their entitlements
or who are ineligible to do so.

Shares issued under the Offer will not qualify for the dividend of 3.25 cents
per share announced today, to be paid on 29 May 2015 based on shareholdings
as at 26 May 2015.  On an ex-dividend basis the issue price therefore
represents a 4.7% discount to the dividend-adjusted volume weighted average
price for the last five trading days prior to 18 May 2015.

It is intended that the net proceeds of the Offer will initially be used to
pay down bank debt, before being used to fund potential future investment and
development opportunities, including the expansion of Sylvia Park.

The terms of the Offer are summarised in the accompanying presentation and
are fully disclosed in the offer document which will be provided to eligible
shareholders and made available to download at kiwipropertyrightsoffer.co.nz

> ENDS

DISCLAIMER

This announcement has been prepared for publication in New Zealand and may
not be released or distributed in the United States.  This announcement does
not constitute an offer to sell, or a solicitation of an offer to buy
securities in the United States or any other jurisdiction.

The entitlements and shares to be offered in the Offer described in this
announcement have not been, and will not be, registered in the United States
under the US Securities Act of 1993 and may not be offered or sold in the
United States, except in transactions exempt from, or not subject to, the
registration of the US Securities Act and applicable to US state securities
law.

CONTACT US FOR FURTHER INFORMATION

Chris Gudgeon
Chief Executive
[email protected]
+64 9 359 4011
mobile +64 21 855 907

Gavin Parker
Chief Operating Officer
[email protected]
+64 9 359 4012
mobile +64 21 777 055

ABOUT US

Kiwi Property (NZX: KPG) is the largest listed property company on the New
Zealand Stock Exchange and is a member of the NZX15 Index.  We've been around
for more than 20 years and we proudly own and manage a $2.28 billion
portfolio of real estate, comprising some of New Zealand's best shopping
centres and prime office buildings.   Our objective is to provide investors
with a reliable investment in New Zealand property by targeting superior
risk-adjusted returns over time through the ownership and active management
of a diversified, high-quality portfolio.  To find out more, visit our
website kp.co.nz
End CA:00264412 For:KPG    Type:RIGHT      Time:2015-05-18 08:33:32