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

 


Vista Entertainment Solutions the latest tech firm to IPO

Vista Entertainment Solutions the latest tech firm to IPO

By Suze Metherell

Jul. 4 (BusinessDesk) - Vista Entertainment Solutions, a cinema ticketing software developer and film distribution company, is looking to raise up to $100.3 million in its float next month, but won't pay any dividends until 2016 as it uses capital raised to pursue international growth opportunities.

The Auckland-based company will offer between 37.2 million and 41.4 million of shares at an indicative price range of $2.10 to $2.70, seeking to raise $40 million in new equity, with existing shareholders selling down but retaining between 45 percent and 49 percent, according to its prospectus lodged with the Companies Office.

The new capital will be used to repay debt and fund the acquisition of a controlling stake in two investments, Movio and MACCS.

Founded in 1996, Vista employs 250 staff in New Zealand, Australia, the US, China, UK and the Netherlands.

The company currently has a 50 percent stake in MACCs, the largest provider of movie distribution software outside the US, but plans to exercise the option to acquire a further 25 percent in September. Vista will also use the new capital to take the remaining 43 percent stake in Virtual Concepts, which owns Movio, a marketing data and campaign management platform for cinemas.

Existing shareholders will sell down up about 37 percent of their stake and their remaining shares will be held in escrow until 2016, after the company's 2015 results. Eligible employees will be gifted $1000 worth of shares, and an allocation of shares at a 20 percent discount will also be offered to employees. If fully subscribed the share offer will make up 0.5 percent of the total share capital.

The prospectus show Vista's recurring revenues have doubled since 2009, with turnover in the 2013 financial year standing at $38.7 million to produce earnings before interest, tax, depreciation and amortisation of almost $9 million. Forecast revenues in the current financial year grow to $49.9 million and again to $61,5 million in the 2015 financial year, to produce forecast ebitda of $13.2 million and net profit after tax of $8.1 million.

Based on the lower and upper bounds of the valuation range, those projections give the company an enterprise value to ebitda ratio of between 15.7 and 19.6 times in 2014 and between 11.1 and 13.8 times in 2015.

The final price will be announced on July 16, with the offer opening the following day and running to August 1. The company expects to list on the NZX on August 11.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Export Values Down: NZ Posts Biggest Annual Trade Deficit In 7 Years

New Zealand has recorded its biggest annual trade deficit since April 2009, reflecting weaker prices of agricultural commodities such as dairy products, beef and lamb, and increased imports of vehicles and machinery. More>>

ALSO:

Currency Events: NZ's New $5 Note Wins International Banknote Award

New Zealand’s new Brighter Money $5 note has been named Banknote of the Year in a prestigious international competition. The $5 note was awarded the IBNS Banknote of the Year title at the International Bank Note Society’s annual meeting. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news