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Oceania Healthcare Limited (NZX: OCA) Announces $100m Equity Raising to Fund Acquisitions

Tuesday 23rd March 2021

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Oceania Healthcare Limited today announced its plans to raise approximately NZ$100 million to fund the acquisition of a premium retirement village, Waterford on Hobsonville Point, and its existing leased facility and adjacent development land in Franklin through a fully underwritten NZ$80 million placement of new shares (Placement) and a non-underwritten retail offer (Retail Offer) of up to NZ$20 million, with the ability to accept oversubscriptions at Oceania’s discretion (together, the Equity Raise).

Proceeds from the Equity Raise:

The proceeds from the Equity Raise will fund the acquisition of both Waterford on Hobsonville Point and the Franklin Property. The Equity Raise will also provide additional financial capacity for Oceania’s future growth and reduce corporate debt outstanding while other potential growth opportunities are assessed.

Details of the Equity Raise:

The NZ$100 million Equity Raise comprises an underwritten Placement of approximately NZ$80 million followed by a non-underwritten Retail Offer of up to NZ$20 million (with the ability to accept oversubscriptions at Oceania’s discretion).

The Placement is fully underwritten by Jarden Partners Limited and Macquarie Securities (NZ) Limited and will be conducted today through a bookbuild in which institutional and other select investors in New Zealand, Australia and other jurisdictions will be invited to participate. The Placement has been fully underwritten at the fixed price of NZ$1.30 per share. This price represents a discount of 6.5% to the last close price of NZ$1.39 per share on 22 March 2021 and a discount of 8.1% to the 5-day VWAP of NZ$1.41 (up to and including 22 March 2021). A trading halt has been granted by NZX and ASX to facilitate the Placement.

Oceania intends to make the Retail Offer available to eligible existing shareholders with a registered address in New Zealand, enabling them to apply for up to NZ$50,000 of new Oceania shares. Shares will be issued under the Retail Offer at the lower of the Placement offer price and a 2.5% discount to the 5-day VWAP of Oceania shares traded on NZX during the last five trading days prior to, and including, the closing date for the Retail Offer. If the Retail Offer is oversubscribed, applications will be scaled having regard to existing shareholdings at 7.00pm NZDT on the record date of 22 March 2021 and otherwise at Oceania’s discretion.

The Retail Offer has been designed so that most eligible shareholders have the potential to preserve their current relative shareholding, if they choose to participate.

The final terms of the Retail Offer will be announced on 25 March 2021. A Retail Offer document, together with an application form, will be sent to eligible shareholders on 25 March 2021 and will be available on the website established for the Retail Offer on the same day. The closing date for applications by eligible shareholders is 12 April 2021.

Eligible shareholders wishing to acquire Oceania shares under the Retail Offer will need to complete the application form or apply online via the website at www.shareoffer.co.nz/oceaniahealthcare.

Please see the link below for details:

Offer Announcement

Investor Presentation

Cleansing Notice

NZX Corporate Action Notice

ASX Appendix 3B

Source: Oceania Healthcare Limited



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