ClearView in capital raising
Clearview has entered a trading halt on the Australian Securities Exchange (ASX) ahead of a capital raising partly predicated on the possible exit of its major shareholder, Crescent Capital.
The company has issued a statement in which it said the board of the company was aware that Crescent Capital, which, together with its associates, owns 53 per cent of ClearView's shares, "would consider selling its shares in the company".
"The board intends to solicit and evaluate proposals in the best interests of all shareholders," it said.
"Morgan Stanley has been appointed for this process."
The company's announcement also said that ClearView's unaudited results to 30 April 2016 continued to reflect the emergence of strong earnings growth.
"ClearView anticipates underlying net profit after tax over the full year to be up 30 per cent to 35 per cent over FY15," it said.
The announcement said the capital raising was via a fully underwritten pro-rata accelerated renounceable Entitlement Offer to eligible shareholders to raise approximately $50 million, priced at 85 cents a share.
ClearView managing director, Simon Swanson, said that the announcement reflected strong performance across the business, "and what we regard as a transition of ClearView's underlying business from a build phase to a growth phase".
Recommended for you
Global investment manager BlackRock has signed an agreement to manage $121 billion for Citi Wealth clients in almost 100 countries, the latest development in its wealth management plans.
Colonial First State has launched a small-cap fund with Wellington Management, its third fund with the US investment manager.
Pacific Current Group is to lose its chief financial officer and non-executive director, prompting the asset manager to consider a board restructure.
Northern Trust Asset Management has promoted co-chief investment officer Michael Hunstad to president.
