Heartland outlines share purchase plan details
Shareholders offered 3% discount as part of $35 million share purchase plan
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Heartland New Zealand – seeking a banking license for the Heartland Bank – has given shareholders details of its $35 million fully underwritten share purchase plan – key to funding its purchase of PGG Wrightson Finance.
Heartland is raising $58 million of capital in order to maintain acceptable levels of capitalisation after the proposed acquisition of PGG Wrightson – a move that will extend its reach into the rural sector.
The capital raising is a combination of private placements, which have been fully committed to by institutional and strategic investors, and the offer to Heartland shareholders under the fully underwritten share purchase plan (SPP).
Terms include a discount of at least 3% to the average end-of-day market price of Heartland shares over the 5-day trading period from August 19 to 25, but would be capped at 75 cents per share.
Shareholders can buy a maximum of $15,000 of shares under the plan, which opens on August 8.
Heartland was recently formed from the merger of Pyne Gould Corporation’s (PGC) former subsidiary Marac Finance and two buildings societies. It is now seeking a full banking license.
Heartland is now among the country’s top 50 listed companies.
Shares in the company last traded at 63 cents.
NBR staff
Thu, 21 Jul 2011
Thu, 21 Jul 2011
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Heartland outlines share purchase plan details
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