Total
0
Shares
Enegex (ASX:ENX) eyes $1.2M in exploration funding for South West Terrane
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Fat Prophets Global Contrarian Fund (FPC) is tapping existing shareholders for some fresh funding through an upcoming share purchase plan
  • The fund manager is giving shareholders the chance to buy $30,000 worth of new shares at $1.30 each — a 2 per cent discount to its five-day volume-weighted average price
  • The company can issue a maximum of around 11.66 million shares under the raise, which equates to just over $15.1 million worth of new shares
  • Importantly, FPC has declared a fully franked, 3-cent-per-share interim dividend
  • Shareholders who take part in the purchase plan will receive this dividend payment on all new shares purchased
  • Fat Prophets says the funds raised will be invested in accordance with its key objectives and will make the company "more relevant in the market"
  • Shares in FPC closed 0.75 per cent lower this afternoon at $1.33 each

Fat Prophets Global Contrarian Fund (FPC) is tapping existing shareholders for some fresh funding through an upcoming share purchase plan.

The fund manager is giving shareholders the opportunity to buy up to $30,000 worth of new shares free of any brokerage fees at $1.30 per share — a slight 2 per cent discount to the company's five-day volume-weighted average price.

While FPC did not specify exactly how much it plans to raise through the purchase plan, the company can issue a maximum of roughly 11.66 million shares under the raise.

At $1.30 each, this equates to just over $15.1 million for Fat Prophets given adequate shareholder participation in the purchase plan.

The company said the funds raised will be invested in accordance with its current investment objectives.

FPC added that the cash boost will give Fat Prophets more trading liquidity and make the company "more relevant in the market" and "improve the prospects of FPC receiving broker and research coverage."

Importantly, Fat Prophets has declared a fully franked, 3-cent-per-share interim dividend for the first half of the 2021 financial year.

The ex-dividend date is May 31, 2021, and so Fat Prophets confirmed today that shareholders who take part in the purchase plan will be entitled to receive the dividend payment on all new shares purchased.

The purchase plan opens on March 10, 2021 and closes on Mach 31. New shares will be issued and begin trading on the market on April 9.

Fat Prophets is focussed on building itself up as a "contrarian" fund manager — a term which the company defines as someone who deliberately behaves differently from those around them.

The company describes its investment strategy as taking a strong contrarian approach to "systematically investing in global themes at key inflection points."

Shares in FPC closed 0.75 per cent lower today at $1.33 per share. The company has a $51.79 million market cap.

FPC by the numbers
More From The Market Herald
Cash Converters International (ASX:CCV) - Managing Director, Sam Budiselik - The Market Herald

" Cash Converters International (ASX:CCV) diversifies loans ahead of credit amendments

Cash Converters International (CCV) is continuing to diversify its loan book and product offerings, ahead of expected amendments to credit legislation.
Wisr (ASX:WZR) - CEO, Anthony Nantes - The Market Herald

" Wisr (ASX:WZR) posts record growth over consecutive quarters

Wisr (WZR) has posted record growth over 19 back-to-back quarters and more-than-doubled new loan originations last quarter.
Art of Mentoring flourishes for AD1 (ASX:AD1)

" PSC Insurance Group (ASX:PSI) taps David Hosking to head Australia and NZ operations

PSC Insurance Group (PSI) has appointed David Hosking to the new role of CEO Australia and New Zealand.
Splitit (ASX:SPT) - CEO, Brad Paterson - The Market Herald

" Splitit (ASX:SPT) furthers Asia Pacific expansion with UnionPay partnership

Payment solutions provider Splitit (SPT) is stepping up its expansion efforts through a partnership with Shanghai-based UnionPay International.