Hold onto your hats people. With a SPP at 88c (or lower) the shareprice will be volatile as everyone plays their games.
Does anyone know how many NZ shareholders HNZ has? probability of scaling?
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Hold onto your hats people. With a SPP at 88c (or lower) the shareprice will be volatile as everyone plays their games.
Does anyone know how many NZ shareholders HNZ has? probability of scaling?
Great niche to be a leader in if managed properly, as hnz will probably do.
I hate it when companies rave about acquisitions being EPS accretive. Seems to be a message don't worry about the dilution
So 65 million new shares.
Using the top end of their forecasts EPS in FY14 is 9.4 cents / EPS in FY15 is 9.6 cents
Yes - that is EPS accretive so good news, but not really that exciting
But then again HNZ going to be bigger
I love quoting myself so sorry for not just editing my post. Anyway:
Per the 2013 stats, they have 8,092 shareholders. So if they 50% apply for the minimum, then
8092 x 50% x $2,500 = 10,115,000
Which will need to be scaled by more than 50% to get to the target of $5m. Will they accept over-subscriptions as it is pretty mean to scale those who apply for the minimum?
From their annual report, as at 1 August 2013 (I presume a few of our members on ST is in the last category)
10.0
Shareholder
Information
Size of Holding Number of Shareholders Total Number of Shares % of Issued Shares
1–1,000 shares 1,064 650,147 0.17
1,001–5,000 shares 2,449 6,512,552 1.68
5,001–10,000 shares 1,433 10,856,025 2.79
10,001–50,000 shares 2,310 53,726,289 13.82
50,001–100,000 shares 506 36,190,334 9.31
100,001 shares and over 330 280,768,628 72.23
TOTAL 8,092 388,703,975 100%
Rank Shareholder Total Shares % of Total Shareholders
1 Harrogate Trustee Limited 36,695,489 9.44
2 Accident Compensation Corporation 21,254,284 5.47
3 Philip Maurice Carter 20,973,492 5.4
4 PGG Wrightson Limited 13,333,333 3.43
5 Oceania & Eastern Limited 12,285,439 3.16
6 Cogent Nominees Limited 12,008,764 3.09
7 Gould Holdings Limited 7,417,427 1.91
8 HSBC Nominees (New Zealand) Limited 6,719,424 1.73
9 Citibank Nominees (NZ) Limited 6,664,221 1.71
10 Leveraged Equities Finance Limited 6,518,340 1.68
11 National Nominees New Zealand Limited 5,959,666 1.53
12 FNZ Custodians Limited 5,753,163 1.48
13 Jarden Custodians Limited 4,500,000 1.16
14 Investment Custodial Services Limited 4,464,273 1.15
15 Investment Custodial Services Limited 4,028,738 1.04
16 New Zealand Superannuation Fund Nominees Limited 3,776,134 0.97
17 Heartland Trust 3,420,197 0.88
18 New Zealand Permanent Trustees Limited 3,150,000 0.81
19 Custodial Services Limited 2,906,391 0.75
20 Forsyth Barr Custodians Limited 2,799,787 0.72
TOTAL FOR TOP 20 HOLDERS 184,628,562 47.50
sorry, that cut and paste is quite difficult to read but it is available on page 68 of their annual report. 8092 shareholders! quite well spread out.
The bigger ones already topped up as part of the 15 mil raised
But yes a pathetic amount to offer the likes of Percy, unless he became sophistated and was part of that 15 mill
According to https://www.nzx.com/files/attachments/189274.pdf they will not be accepting over-subscriptions.
"If Heartland receives applications in excess of $5 million, it will scale back all applications on a proportionate basis."
Are they allowed to change information already released to the market? Also, I can see no reason for them to accept over-subscriptions - what would they do with the additional funds?
It appears to me that the $5 million is just a nod to small investors, giving them a foot in the door, rather than a serious capital raising exercise. I am sure they could have raised all $20m through placements.
Good hing about his type of acquisition it will give Snoopy plenty more to analyse
I preempt him ..a large exposure to residential mortgages and the exposure to people dying wen they not meant too
Do they re-insure them. I thought the idea behind these were you charged a higher interest rate but only allowed them to have a low LVR - the reason being the higher risk of having to deal with the property when they 'go to the farm in the sky'. So no extra risk, just extra admin.
No one has commented on the expansion into the Australian market with this acquisition. I wonder what the plan for that is.
They dont get chucked out, that is guaranteed provided the meet the conditions (insurance etc). There is also a no negative equity guarantee though I am sure they have actuarial staff on hand to ensure that never happens. A 60yo cant borrow more than ~20% of the value of their house (a 90yo has a LVR of 45%), but get charged a 1.5-2% premium to normal floating rates.
It seems that will be kept as a separate entity. It could act as a foot in the Australian door or is set up to sell. My guess is a the latter at this stage of the companies growth. However, it will bring the company to the notice of Australian financial institutions.