Sharechat Logo

TIL Logistics finally trades on NZX - at more than twice takeover price

Friday 8th December 2017

Text too small?

TIL Logistics Group took a day to close its first trade as a public company following yesterday's reverse listing, with a small transaction crossing at more than twice the price the deal put on the shares. 

The New Plymouth-based trucking and logistics company, formerly known as Transport Investments, joined the bourse after completing a reverse listing through Bethunes Investments yesterday, although buyers and sellers didn't manage to meet on day one. Today  2,000 shares changed hands at $3.50 apiece, more than twice the $1.50 value implied by the reverse takeover, while another 1,250 shares traded at $2.80 apiece. 

"TIL Logistics Group Ltd notes that there is a wide bid-ask spread in TLL’s shares, following the successful completion this week of TLL’s acquisition of the Transport Investments Ltd business and an $11.51 million private placement to part fund that acquisition," chief financial officer Greg Whitham said in a statement.  "TLL encourages people who wish to trade in TLL shares at this stage, while there is a limited liquidity in the shares, to seek financial advice before doing so."

The latest trading price values TIL Logistics at $228 million. The reverse listing was funded through a $100 million banking facility, $11.5 million private placement, and share issue, which placed an implied equity value on the company of $122.2 million at the $1.50 share price. 

The transport company had planned to list through an initial public offering, but gave up on those plans in mid-2017 after being advised "market conditions were not conducive, in part because of the New Zealand general election and likely resulting market uncertainty." It began discussions with Bethunes in August and completed the transaction earlier this week. 

(BusinessDesk)



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

SML - Synlait Milk Limited - Trading Halt of Securities
AIA - Auckland Airport announces board chair changes
AIA - Auckland Airport announces board chair changes
CEN - Tauhara commissioning progress update
FPH initiates voluntary limited recall
March 28th Morning Report
KFL Celebrates 20 Years of Excellence in Investment Mgmt.
SVR - Savor FY24 Earnings Guidance & Change in Banking Partner
NZK - NZ King Salmon Investments Limited FY24 Results
March 27th Morning Report