Monday 30th July 2018
|Text too small?|
Gentrack Group said it raised about $25.8 million in a stock offer to retail investors, in the second part of a two-stage share sale aimed at raising funds to repay debt used for a recent flurry of acquisitions.
Total take-up under the retail entitlement offer, which closed on July 26, was 68 percent, Auckland-based Gentrack said in a statement. The company is now offering a retail shortfall bookbuild for 1.93 million entitlements, being run today.
The previous institutional entitlement offer, which was run earlier this month, raised about $31.5 million, and its shortfall bookbuild of 3.4 million entitlements achieved a clearing price of $6.69 per share, a premium of 50 cents per share over the offer price of $6.19 and a discount of 19 cents per share to the theoretical ex-rights price of $6.88. The $90 million capital raise is fully underwritten by Deutsche Craigs and UBS New Zealand.
The funds raised will go towards repaying bank debt taken on after a series of four acquisitions totalling $138 million before earn-out payments, which the utilities software developer says will leave it with almost no bank debt and give it a strong enough balance sheet to make more acquisitions.
In June, Gentrack bought UK-based energy data analysis software and services provider Evolve Analytics for an enterprise value of $44 million, adding to last year's acquisition of UK billing and customer information systems firm Junifer Systems for $74.6 million and European airport software developers Blip Systems and CA Plus for about $20.3 million.
The shares last traded at $6.90, and have risen 4 percent this year. The stock is rated an average 'hold' based on three analyst recommendations compiled by Reuters, with a median target price of $6.69.
No comments yet
MARKET CLOSE: NZ shares dip as global trade jitters weigh on A2, F&P
NZ dollar set for weekly gain after Reserve Bank surprise
Burger Fuel exploring sale after review questions listing merits
New net migration data to remain rubbery for quite some time
NZX to push sales this year after reshaping business dents 2018 profit
Slowing new orders growth weighs on January PMI
New NZ dry dock a basis for new industry - KiwiRail
Wellington Drive beats 2H sales forecast, will meet earnings guidance
NZIQS decides more training is the answer to past president's misconduct
February 15th Morning Report