Entitlement Offer and General Offer
Perpetual Equity Investment Company Limited ("PIC" or "Company") has today announced that it has lodged a Prospectus with ASIC to raise approximately $101.2 million. This Offer is comprised of:
- a non-renounceable pro rata offer to Eligible Shareholders of 1 New Share for every 4 Existing Shares at an issue price of $1.12 per New Share to raise up to $71.2 million (Entitlement Offer); and
- a General Offer to new investors to subscribe for New Shares at an issue price of $1.12 per New Share to raise up to $30 million (General Offer)
The new shares will be entitled to receive the 3.3 cents per share (fully franked) final dividend.
As the Offer is being made under a prospectus, new retail clients may participate in the General Offer (which includes any shortfall from the Entitlement Offer).
The Offer proceeds will be used to grow the Company's Portfolio by undertaking investments consistent with the Company's investment policy, objectives and guidelines previously announced by the Company.
Full offer terms and conditions are detailed in the prospectus.
The Offer Price of $1.12 per share is a discount of:
- approximately 6.7% to the PIC closing share price on 15 August 2018 of $1.20.
- approximately 5.2% to the NTA before tax on 15 August 2018 of $1.182; and
- approximately 3.5% to the NTA after tax on 15 August 2018 of $1.161.
Benefits of the Offer
- Managed by Perpetual Investment Management Limited, one of Australia's most experienced fund managers.
- The Manager is paying the costs of the Offer.
- Access to a high quality portfolio of Australian and global securities selected by the Manager.
- No brokerage is incurred.
- A track record of paying regular fully franked dividend (annual dividend yield is 5.38%, grossed up to 7.55%*. All New Shares are eligible for the final dividend payment of 3.3 cents per share.
* Based on a grossed up dividend of 8.8 cents per share (grossed up to take franking credits into account) and the closing share price of $1.17 on 30 June 2018.
Issuer: Perpetual Equity Investment Company Limited (PIC)
Transaction: 1 for 4 Entitlement Offer and General Offer
Morgans role: Joint Lead Manager
Offer Price: $1.12
Offer Size: $101.2 million (approximately)
Offer opens: Monday 20 August 2018
Entitlement Offer closes: Wednesday 26 September 2018
General Offer closes: Friday 28 September 2018
Company website: www.perpetualequity.com.au
If you have any questions about the Perpetual Equity Investment Company share offer, please contact your Morgans adviser, call 134 226 or find your nearest office here.
Perpetual Equity Investment Company Limited shares are being offered only in Australia and the PDS will only constitute an offer to a person receiving it in Australia. Not for distribution, directly or indirectly, in the United States or to, or for the account or benefit of, US Persons, except in accordance with an available exemption from the registration requirements of the US Securities Act. The distribution of the PDS (including an electronic copy) in jurisdictions outside Australia may be restricted by law.