Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Gentrack IPO next step in long-term growth story

26 May 2014


Gentrack IPO next step in long-term growth story

Specialist utilities and airports software solutions provider Gentrack Group Limited (Gentrack or the Company) today registered an investment statement and prospectus to raise up to $101.8 million and seek a listing on the NZX Main Board and ASX.

The Offer comprises the issue of up to 18.0 million new ordinary shares to raise $36.0 million of new capital and the sale of 26.3 million existing shares. The indicative price range of the shares in the Offer will be $2.00 to $2.50 per share. The Offer will be in two parts; an institutional offer and a retail offer. The retail offer will comprise a broker firm offer and an employee offer. There will be no public pool.

Capital raised through the issue of new shares will be used to pay down Gentrack’s existing debt of $33.1 million and create a platform for further growth. The Offer will also allow some existing shareholders to sell down shares [Existing shareholders will sell down via Gentrack Share Sale Company Limited, which is the offeror of the existing shares under the IPO. ] which will foster liquidity and increase the size of Gentrack’s free float following the offer. Existing shareholders will continue to own approximately 41.5% to 43.5% of the Company’s ordinary shares immediately post-allotment [Calculated based on the indicative price range. ].

The final pricing of the Offer will be determined on 5 June 2014 by means of a bookbuild to institutional investors and retail brokers.

Gentrack Chairman John Clifford says the IPO will position the Company to build on its strong track record of delivering mission critical software solutions to energy utilities, water companies and airports internationally.

“A listing on the NZX and ASX provides a transparent ownership structure and strong balance sheet to assure Gentrack’s existing and future customers that it is a robust contracting partner, reinforcing its competitive position for delivering fully operable software solutions on time and on budget.”

“Gentrack has built a profitable business with compound growth of earnings before interest, tax and amortisation of 16.1% per annum over the last five years. This growth has been underpinned by the contracted and recurring revenues generated by new and existing installations of its Gentrack Velocity solution for energy and water utilities and its Airport 20/20 Operational System.”

The Company’s software is now installed in 150 utility and airport sites. Gentrack Velocity customers include many of New Zealand’s energy utilities such as Genesis Energy, Meridian Energy and Vector; Australian energy and water utilities including Origin Energy, Alinta Energy, Red Energy, Unitywater and TasWater; and innovative energy players Ovo Energy, LoC02 Energy, Flow Energy and Insite Energy in the United Kingdom. Airport 20/20 is operational in marquee international airports including Hong Kong, JFK in New York, Newark Liberty, Sydney, Melbourne, and Birmingham as well as Auckland, Christchurch and Wellington.

Gentrack Executive Director and CEO James Docking says the operating environment for electricity, gas and water utilities and airports is continuing to evolve rapidly.

“Changing regulations, increasing competition, new consumer engagement strategies and technological innovations are driving increasing demand for flexible and robust software solutions like Gentrack Velocity and Airport 20/20. Gentrack's software solutions provide utilities and airports with the tools required to harness real-time information flows, achieve greater operational efficiency and improve the customer experience.”

In FY2013 more than 65 per cent of Gentrack’s revenue came from projects in offshore markets. To service those markets the Company has more than 180 staff and offices in London, Melbourne and Brisbane, retaining its R&D centre and core leadership teams in its Auckland headquarters.

Key dates

Bookbuild, Pricing and Allocation5 June 2014
Offer Opening Date9.00am, 9 June 2014
Offer Closing Date5.00pm, 20 June 2014
Expected commencement of trading on the NZX Main Board and ASX25 June 2014


UBS New Zealand Limited is lead manager for the Offer.

No person guarantees the offer shares nor warrants or guarantees their performance.


Important Notice

The offer of shares in Gentrack Group Limited (Gentrack) is made by Gentrack and Gentrack Share Sale Company Limited on the terms and conditions set out in an investment statement dated 26 May 2014 (the Investment Statement). The offer is not yet open. It is expected to open for applications on 9 June 2014. When the offer opens, applications for shares must be made on the application form accompanying the Investment Statement.

Application has been made to NZX Limited for permission to list Gentrack and to quote its shares on the NZX Main Board and all the requirements of NZX Limited relating thereto that can be complied with on or before the date of this announcement have been duly complied with. However, NZX Limited accepts no responsibility for any statement in this announcement. The NZX Main Board is a registered market operated by NZX Limited, which is a registered exchange, regulated under the Securities Markets Act 1988.

The contents of this document are not permitted to be made available to persons in any country other than New Zealand and Australia.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>


Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news