Aussie Broadband has raised $20 million through a heavily oversubscribed Share Purchase Plan (SPP). As announced to ASX on 8 September 2021, the company offered each eligible shareholder the opportunity to participate in the SPP offer to raise $10 million.
The details of the SPP were distributed to eligible shareholders on 15 September 2021 and closed on 1 October 2021. As set out in the SPP Booklet, the company reserved the right to accept oversubscriptions and because of the high demand it has been decided to accept a total of approximately $20 million.
Even at this higher level a significant scale back is required. In implementing the scale back the company has applied the general principle that scale back will be undertaken on a pro rata basis, subject to a minimum allocation of $500 worth of shares (for eligible applications) and having regard to participant’s applications under the SPP. Shareholders that applied for an ineligible parcel of shares were rounded down to the nearest eligible parcel, as outlined in the original offer, and the pro rata was applied to the eligible parcel of shares.
As such the shares will be allocated as follows:
Following the close of the SPP, ABB Managing Director Phillip Britt said the company was humbled by the support shown by shareholders both in the recent Placement and the SPP.
“Despite doubling the size of the SPP raise, we know the level of scale back will be disappointing for many,” he said. “We hope to repay the faith our shareholders have shown us by continuing to deliver value to them as we execute our strategy.”
In line with the SPP timetable, the shares will be allotted on 8 October 2021 and shareholders can expect their refund of oversubscriptions on or about 11 October 2021.