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- Sky Network Television (SKT) has raised NZ$119.2 million by offering discounted new shares via an institutional entitlement offer and placement
- It forms the first phase of their quest to complete a NZ$157 million capital raise to help pay down debt and see the business through the volatile climate generated by the COVID-19 pandemic
- NZ$110.1 million came from the institutional entitlement offer while NZ$9.1 million was generated through last weeks placement
- The remaining NZ$38 million the company hopes will come from the retail entitlement offer, which opens on Wednesday for eligible shareholders, and has the same application price as the placement and institutional entitlement offer of NZ$0.12 per new share
- Sky’s shares ended the day up 3.66 per cent last selling for 17 cents each.
Sky Network Television (SKT), has raised NZ$119.2 million (approx. A$111.2 million) by offering discounted new shares via an institutional entitlement offer and placement.
It forms the first phase of the New Zealand pay TV company’s quest to complete a NZ$157 million (approx. A$146.5 million) capital raise to help pay down debt and see the business through the volatile climate generated by the COVID-19 pandemic.
The majority of the cash, NZ$110.1 million (approx. A$102.7 million), came via the institutional entitlement offer, while NZ$9.1 million (approx. A$8.5 million) was raised through a placement last week.
The company hopes the remaining NZ$38 million (approx. A$35 million) will be generated through the retail entitlement offer, which opens on Wednesday to exisiting shareholders, and has the same application price as the placement and institutional entitlement offer of NZ$0.12 per new share.
Sky Chief Executive, Martin Stewart said the company was delighted with the strong show of support from existing and new shareholders.
“The level of interest was significantly higher than the available offer amount,” Mr Stewart said.
“The proceeds will help ensure Sky is well capitalised to withstand the impacts of COVID-19 and positioned to execute on future growth opportunities once conditions improve.”
The new ordinary shares in Sky offered under the institutional entitlement Offer and placement are expected to be allotted and commence trading on the NZX and ASX on Tuesday June 2 2020 and will rank equally with existing ordinary shares.
Sky’s shares ended the day up 3.66 per cent last selling for 17 cents each.
