FREIGHTWAYS Ltd. Initial Public Offer – Fact Sheet
|Seller||ABN AMRO Capital (Belgium) N.V.|
|Joint Lead Managers||ABN AMRO Rothschild, First NZ Capital|
|Co-Managers||ABN AMRO Craigs, Forsyth Barr|
|Shares being sold by the Seller||77.5 million|
|New Shares being issued 1||11.3 million to 9.2 million|
|Total Shares Offered for Sale 1||88.8 million to 86.7 million|
|Total fully paid Shares on issue upon completion of the Offer1||122.4 million to 120.3 million|
|% of Shares held by existing ordinary shareholders following IPO 1,2||26.8% to 27.3%|
|Indicative Price Range Per Share||$1.55 to $1.90|
|Market Capitalisation 1||$189.8 million to $228.7 million|
|– Express package||New Zealand Couriers, Post Haste Couriers, Castle Parcels, SUB60, Security Express|
|– Information management||Online Security Services, Data Security Services, Document Destruction Service, Online Records Management|
|– Business mail||DX Mail|
|Average Operating Earnings growth (FY1999 to FY2003) 3,4||16.6%|
|Forecast Operating Earnings growth (FY2004) 3,4||12.8%|
|Forecast growth in Net Profit after Tax (FY2004) 4||21.8%|
|Forecast gross dividend yield (FY2004) 1||9.0% to 10.8%|
- Calculated using the Indicative Price Range of $1.55 to $1.90. The Seller and the Company reserve the right to set the Final Price outside the Indicative Price Range
- Existing ordinary shareholders include the seller, management and advisors. This includes shares held by them for at least 12 months following completion of the IPO
- Operating Earnings means earnings before interest, taxes and amortisation
- On a pro forma basis
|Exchange Offer and Public Offer open||Monday 1 September 2003|
|Bookbuild for NZX Firms and institutions||Wednesday 10 to Friday 12 September 2003|
|Bookbuild closes||5.00pm Friday 12 September 2003|
|Exchange Offer and Public Offer close||5.00pm Friday 12 September 2003|
|Final Price announced||Monday 15 September 2003|
|Broker firm and institutional offers close||5.00pm Friday 26 September 2003|
|Listing on NZSX||Monday 29 September 2003|
Offer Structure Summary
FREIGHTWAYS FY2004 Forecast Implied Multiples and Yield
The following figures are derived from forecasts prepared by Freightways. These forecasts and the assumptions on which they are based are set out in full in the combined Freightways Investment Statement and Prospectus.
|OFFER PRICE PER SHARE||$1.55||$1.90|
|Fully paid shares on issue (million) 1||122.4||120.3|
|Market Capitalisation ($ million) 2||$189.8||$228.7|
|Enterprise Value ($ million) 3||$329.8||$368.7|
|EBITA ($ million)||$36.1|
|NPAT ($ million)||$12.7|
|NPAT (pre goodwill amortisation) ($ million)||$17.6|
|Cash Dividend ($ million) 4||$14.0|
|Offer Multiples and Yield 5|
|Price / Earnings 6||15.1x||18.2x|
|Price / Earnings (pre goodwill amortisation) 7||11.0x||13.2x|
|Gross Dividend Yield 8||10.8%||9.0%|
- Fully paid Shares on issue at the conclusion of the offer.
- Calculated as fully paid Shares on issue at the conclusion of the Offer multiplied by Final Price per Share.
- Calculated as market capitalisation plus net debt of $140 million upon completion of the Offer and redemption of the Preference Shares.
- In respect of the year ending 30 June 2004, a forecast interim dividend of $6.75 million is expected to be paid in March 2004 and a projected final dividend of $7.25 million is expected to be paid in September 2004. No dividend will be paid on Shares in respect of the year ended 30 June 2003.
- Shares on issue in Offer Multiples and Yield calculated assuming one-third of the outstanding 5,632,176 unpaid ESOP shares are paid up in full during the financial year ending 30 June 2004.
- Calculated as offer price per Share divided by earnings per share. Earnings per share calculated as forecast net profit after tax divided by Shares on issue.
- Calculated as offer price per Share divided by earnings per share (pre goodwill amortisation). Earnings per share (pre goodwill amortisation) calculated as forecast net profit after tax and before amortisation divided by Shares on issue.
- Calculated as cash dividend per Share divided by Final Price per Share. Cash dividend per share calculated as forecast net dividend divided by Shares on issue. The dividends in respect of the year ending 30 June 2004 are forecast to be fully imputed.
Application has been made to New Zealand Exchange Limited (“NZX”) for permission to list the Freightways’ ordinary shares and all of the requirements of NZX relating thereto that can be complied with on or before the date of distribution of this announcement have been duly complied with. However, NZX accepts no responsibility for anything in this announcement.