- Despite only being announced yesterday, toll road operator Atlas Arteria (ALX) has successfully completed a $420 million placement
- Approximately 67.7 million new fully paid shares were issued to domestic and offshore institutional investors at a price of $6.20 per share
- Atlas Arteria will use this money to boost its finances after motorists stayed home during the COVID-19 pandemic and did not pay tolls
- The company will now undertake a share purchase plan to raise an additional $75 million
- Atlas Arteria is down a slight 2.09 per cent on the market and shares are trading for $6.56 each
Despite only being announced yesterday, toll road operator Atlas Arteria (ALX) has successfully completed a $420 million placement.
Approximately 67.7 million new fully paid shares were issued to domestic and offshore institutional investors at a price of $6.20 per share.
This price represented a 7.5 per cent discount to the last trading price of $6.70 on May 27, and an 8.2 per cent discount to the five-day volume-weighted average price up to close on May 27, which hit $6.76.
As the placement was oversubscribed, shareholders who bid for an amount either less or equal than their pro-rata amount received what they applied for.
Shares under the placement are expected to settle on June 2 and be allocated and begin trading the ASX on June 3.
Atlas Arteria will use this money to boost its finances after motorists stayed home during the COVID-19 pandemic and did not pay tolls and repay a loan to MIBL Finance of Luxembourg.
“We are very pleased with the significant support for the transaction. The repayment of the MIBL Facility will deliver a stronger, more resilient balance sheet and improve our flexibility to pursue future growth opportunities,” CEO Graeme Bevans said.
Atlas Arteria will now undertake a share purchase plan to raise an additional $75 million.
The share purchase plan will open on June 5, close on June 25, and shares can begin trading on the ASX on July 3.
Atlas Arteria is down a slight 2.09 per cent on the market and shares are trading for $6.56 each at 2:29 pm AEST.