APA Group is pleased to announce that it has successfully completed its offer of long-dated, unsecured, subordinated and cumulative notes ("Notes"), raising $515 million in total including demand from the APA Securityholder Offer and the General Offer.
APT Pipelines Limited (ACN 009 666 700) will today issue 5,150,000 Notes under the Prospectus at an issue price of $100 per Note.
On 9 August 2012, APA Group launched the offer of Notes at $100 each to raise $350 million, with the ability to raise more or less ("Offer"). On 16 August 2012 APA Group announced the allocation of $475 million of Notes following strong demand through the Bookbuild.
APA’s Chief Financial Officer, Peter Fredricson, said, "We are very pleased with the strong support through the APA Securityholder and General Offers, and as a result we have upsized the Offer to $515 million from the $475 million of Notes allocated in the Bookbuild. The Offer attracted significant interest from existing APA investors and will also see a number of new investors in APA Group."
The Notes allocation policy is described below:
• All valid applications under the APA Securityholder Offer and the General Offer have been accepted in full; and
• Allocations to Syndicate Brokers and Institutional Investors were determined pursuant to the Bookbuild completed on 15 August 2012.
Applications that were accompanied by cheques that were subsequently dishonoured, and online applications for which BPAY payments were not received, have not received an allocation.
Applicants under the APA Securityholder Offer and the General Offer can obtain information about their allocation of Notes by calling the APA Notes Offer Information Line on 1800 992 312 (within Australia) or +61 2 8280 7132 (outside Australia) (Monday to Friday – 8:30am to 5:30pm, Sydney time).
Applicants under the Broker Firm Offer should confirm their allocation of Notes with their Syndicate Broker. Institutional Investors under the Institutional Offer have been individually advised of their allocation of Notes by the Joint Lead Managers.
Deferred settlement trading
Notes are expected to commence trading tomorrow on the ASX on a deferred settlement basis under the ASX code of "AQHHA".
All applicants are responsible for confirming the number of Notes allocated to them prior to selling any Notes. Applicants who sell Notes before receiving their Holding Statement or CHESS confirmation do so at their own risk (even if they obtained information on their allotment on the APA Notes Offer Information Line).
Trading on a normal settlement basis is expected to commence on 24 September 2012.
Holding Statements and refund cheques
Holding Statements detailing the number of Notes issued to each successful applicant are expected to be despatched by 21 September 2012. As no applications have been scaled back, no refunds of application monies will be made.
The Interest Rate for the first Interest Period ending on 31 December 2012 is 8.0100% per annum. This has been determined in accordance with the Terms as the Bank Bill Rate on 18 September 2012 (being the Issue Date) of 3.5100% plus the Margin of 4.50%.
The table below outlines the key dates and the Interest Payment for the first Interest Period:
No. of Days in
Interest Payment per Note (1)
31 December 2012
17 December 2012
21 December 2012
(1) Face Value is $100.00 per Note
Following the first Interest Period, the Interest Rate will be set quarterly.
Tomorrow, APA Group will advertise the basis of allocation of Notes in The Australian, The Australian Financial Review, The Sydney Morning Herald and The Age.
Unless otherwise defined, capitalised terms in this release have the same meaning given to them in the Prospectus dated 17 August 2012.