Solid IPO for K2
The K2 Asset Management float has closed over-subscribed after raising $20.48 million.
The boutique fund manager raised the funds from both institutional and private client investors, giving K2 a market cap of $228.6 million based on a share price of $1.05.
A total of 217.8 million shares will be issued by the time the fund manager lists on November 29.
K2 executive director Campbell Neal said the result was pleasing after having to withdraw the first float in August due to share market volatility.
“We feel that it was worth delaying the offer, and are particularly happy to have received strong institutional support,” he said.
“We take this as a strong endorsement for our investment approach and management team.”
On listing, K2 directors will hold 77.6 per cent of the shares, with other staff owning 4.6 per cent. Other shareholders will hold 8.8 per cent of the fund manager, with the remaining 9 per cent held by new shareholders.
K2 was established in 1999 to offer absolute return strategies for both local and international investors.
The manager runs three absolute funds investing in Australian, Asian and internationals shares. K2 currently has $670 million of funds under management.
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