NRW Holdings Ltd (ASX:NWH) has completed a $25 million institutional placement, priced at a 3% premium of $0.68 in order to progress the acquisition of Golding Group, announced yesterday. Following the institutional raise, the Company launched a share purchase plan for retail holders, encouraging investors to acquire up to $10,000 worth of shares also at $0.68. Following the resumption of trading, NRW was up 28% to $0.847 per share.
NRW Holdings Limited (ASX:NWH) (NRW or the Company) is pleased to announce that it has received binding commitments to place approximately 36.8 million new ordinary shares at a price of $0.68 per share, to raise $25 million (Placement) towards the acquisition of Golding Group Pty Ltd.
The Placement price of $0.68 represents a 3% premium to NRW’s closing price of $0.66 per share on ASX on 11 August 2017, being the last trading day prior to the trading halt.
Jules Pemberton, NRW’s CEO & Managing Director, said:
“I am delighted with the success of the Placement which was very strongly supported by investors who clearly share our excitement around the transformational acquisition of Golding. We are particularly grateful for the support of our existing shareholders and also pleased to welcome a number of new, high quality institutions onto the NRW register.
NRW’s eligible shareholders will have an opportunity to participate through the share purchase plan with details to be sent to shareholders in the coming days.”
Additional information regarding the Placement can be found in the announcement released to the ASX on 14 August 2017.
Settlement of the Placement is scheduled for Thursday, 17 August 2017, with new shares expected to be issued on Friday, 18 August 2017 and trading to commence on ASX the same day.
UBS AG, Australia Branch and Euroz Securities Limited served as Joint Lead Managers and Bookrunners. Longreach Capital acted as financial advisor to NRW.
Share Purchase Plan
The NRW board of directors is pleased to offer eligible shareholders the opportunity to participate in a share purchase plan (SPP) at $0.68 per share, which is the same price as under the Placement.
Each eligible NRW shareholder at 7.00pm (AEST) on Friday, 11 August 2017 will have an opportunity to subscribe for up to $10,000 of new NRW shares, subject to scale back, without incurring brokerage or transaction costs.
Eligible NRW shareholders are holders of fully paid ordinary shares in NRW and whose address on the share register is in Australia or New Zealand (provided that such shareholder is not in the United States or acting for the account or benefit of a person in the United States).
NRW reserves the right (at its absolute discretion) to scale back applications under the SPP if the total demand exceeds $5 million. When determining the amount (if any) by which to scale back an application, NRW may take into account a number of factors, including the size of an applicant’s shareholding, the extent to which eligible shareholders have sold or bought additional shares after the Record Date and the date an application was made. Eligible shareholders are therefore encouraged to submit their applications early.
New NRW shares issued under the SPP will rank equally with the existing NRW shares.
Further details of the SPP will be provided in the SPP Offer Booklet which will be sent to eligible shareholders in the coming weeks.
NRW Managing Director CEO, Jules Pemberton and Golding Group CEO, Geoff Caton
High Resolution images Jules Pemberton and Geoff Caton
