Dealer group float closed
Perth-based financial planning dealer group Plan B has closed its initial public offer (IPO) process having received an oversubscription for the 30 million $1.00 shares available.
The greater than expected interest came from the three categories of investors Plan B was looking to attract — institutional, retail and its own employees.
Plan B managing director Denys Pearce said: “I think you go into an IPO believing you have a very strong value proposition, and believing that you’ll be able to explain that to investors and therefore excite them to make them want to become shareholders in the company. But at the end of the day you await their judgement because they represent the market.
“So when I was informed by the underwriters that we have very strong interest from institutions and private investors that was fantastic news,” he said.
Trading of Plan B equities on the Australian Stock Exchange will now take place on July 12, with the debut having been brought forward from the original planned date of July 20.
The positive response has meant the dealer group has been able to achieve the ownership balance it was seeking, being a roughly 50:50 split between institutional and private shareholdings.
Pearce believes the result bodes well for any future capital raising activities Plan B may need to undertake.
“It means we have confidence that there are future opportunities for capital raising should the directors believe that’s appropriate. Obviously, as a result of this initial public offering, we will have substantial capacity within our balance sheet and it’s now up to us to execute our strategies,” he explained.
Once listed, Plan B will have market capitalisation to the value of $74.9 million.
Recommended for you
With Fortnum Private Wealth and Professional Financial Services now unified under the Entireti umbrella company, CEO Neil Younger has detailed to Money Management the firm’s new direction and future expansion.
The FAAA has suggested looking offshore for overseas financial advisers to ease the adviser shortage, but are employers willing to take on the burden of workplace visas?
There may be a huge influx of alternatives coming to the market, but timing and access difficulties mean advisers can easily end up disappointed with their selection, according to Morningstar global CIO Dan Kemp.
An NSW individual has pleaded guilty to one criminal charge of providing unlicensed financial services after promoting crypto investments at national seminars.