» Tabcorp Successfully Raises AU$250M
Tabcorp Successfully Raises AU$250M
Wednesday 28 March, 2012 19:20
Tabcorp has successfully raised AU$250 million - AU$200 million of this was
raised through the issue of new subordinated notes that are to be listed on the
Australian Securities Exchange (ASX) and a further AU$50 million was raised from
the issuing of notes to Tabcorp shareholders.
The AU$200 million were offered to institutional investors and brokers via
the bookbuild process and the other AU$50 million to holders of Tabcorp ordinary
shares and Tabcorp bonds, as well as other investors.
The share offer was announced last month and Tabcorp made a requirement for
investors to purchase a minimum of 50 notes at a cost of AU$100 each. 2.5
million notes were issued and these will commence trading on the ASX under the
code TAHHB. Tabcorp has revealed that the new funds will be used for 'general
corporate purposes' such as the repayment of existing debts.
David Attenborough, Managing Director and Chief Executive Officer of Tabcorp
stated, "We are pleased with the positive response to the offer."
"The offer attracted significant interest from new and existing investors."
The notes are unsecured, subordinated, cumulative notes that will mature on
March 22, 2037, although they can be redeemed sooner than that. Interest will be
calculated on a quarterly basis at a 4.00 percent per annum fixed margin over
the 3 Month Bank Bill Rate and will be paid to investors quarterly.
Attenborough Pushes for Uniform Regulations
Attenborough has been pushing the Federal Government to implement a
standardized regulatory approach to gambling, stating that the lack of
uniformity and regulation is harming the industry and Tabcorp in particular. He
stressed the differences in consumer protection between the different states and
territories and looked at some of the different policies that have been
implemented around the country.
The Tabcorp CEO commented that "the consumer, particularly the one betting
online, does not think state-based and can access any wagering operator through
an account, regardless of which state they're in. They can easily side step any
state's special rules with their iPhone."
"For a company like Tabcorp that operates nationally through licenses in a
number of states this patchwork regulatory environment makes life cumbersome and
acts as a drag on the business. A national or standardized approach would
provide business with greater freedom to focus on innovation and creating value.
It would allow business and government alike to be more productive."
Attenborough referred to Tabcorp's commitment to development citing their
online wagering site that will soon be launched.