Chapman Tripp is advising
Heartland Bank on its $30 million capital raising via a combination of a
placement and a Share Purchase Plan (SPP).
The placement was conducted
yesterday (12 December) through a bookbuild that saw institutional and other
select New Zealand and Australian investors invited to bid for shares. The placement has successfully raised the
maximum $20 million of new capital sought.
Heartland intends to raise a
further $10 million through an SPP, the final terms of which are expected to be
announced in early 2017. The SPP will give
New Zealand shareholders the chance to acquire up to $15,000 of shares.
Chapman Tripp partner Rachel
Dunne says the same class regime in the Financial Markets Conduct Act 2013 was
used to conduct the placement.
“This allowed the capital to
be raised efficiently, while also enabling participation by New Zealand retail
investors through their brokers.”
Heartland intends to use
the capital to fund future growth as well as further invest in the bank’s digital
strategy. The bank’s shares last traded
at $1.53 and have risen 16% this year.