- PointsBet (PBH) has raised $200 million under a placement to institutional investors as part of a larger round of financing
- The company issued roughly 18 million new fully paid ordinary shares at a price of $11.00 each to a number of new sophisticated shareholders in Australia and overseas
- The second component of the financing, a one-for-6.5 accelerated pro rata renounceable institutional entitlement offer, will begin today at $6.50 per new share
- Under this component, eligible shareholders will receive one new option for every two shares issued, exercisable at a price of $13.00
- Shares in PointsBet (PBH) are currently in a trading halt, and are expected to resume on Wednesday, September 9
PointsBet (PBH) has raised $200 million under a placement to institutional investors as part of a larger round of financing.
The $2 billion bookmaker announced the financing along with its 2020 financial year results on August 28, under which it is seeking to raise approximately $353 million via an institutional placement and a separate entitlement offer.
The initial placement phase was completed on Friday, generating $200 million through the issuance of 18,181,819 new fully paid ordinary shares at a price of $11.00 each. This represents a discount of 12.5 per cent based on the company’s closing price on Wednesday, September 2, of $13.69 per share.
PointsBet said the placement was strongly supported by a number of Australian and overseas sophisticated investors, some existing shareholders and some new ones.
These new shares are expected to settle on Wednesday, September 9, with allotment and normal trading scheduled to occur the next day.
Sam Swanell, Managing Director and CEO of PointsBet, said he is thrilled with the support for the financing and viewed the success of the placement as a clear endorsement of the company’s long-term strategy.
“The capital raising strengthens the company’s balance sheet to execute on its long term strategy,” he added.
The second component of the financing, a one-for-6.5 accelerated pro rata renounceable institutional entitlement offer, will begin on Monday, September 7, at an offer price of $6.50 per share.
Under the offer, eligible shareholders will receive one new option for every two shares issued, which will be exercisable at a price of $13.00 per share until September 30, 2022.
This component also includes a retail offer, which is expected to open on Friday, September 11, and close on Tuesday, September 22.
Shares in PointsBet (PBH) are currently in a trading halt, and are expected to resume on Wednesday, September 9.