Retail investors leave BoQ underwriters with a $274m shortfall
Bank of Queensland has raised about $408 million from retail investors leaving underwriters with a hefty bill.
BoQ posted a net profit of $4 million. Photo: ABC
BoQ said it received strong support for the retail component of the equity raising which is part of the $1.3 billion takeover of ME Bank.
It said it raised $336 million from retail investors, a take-up rate of about 50 per cent.
Another $72 million was raised through the over-subscription facility for shareholders who wanted more than the allocation. The retail entitlement offer was valued at $682 million, leaving a gap of $274 million.
Including the over-subscription, the take-up rate was 60 per cent.
“Approximately, 37 million new shares not taken up under the retail entitlement offer will be allocated to underwriters and sub-underwriters of the retail entitlement offer,” the bank said.
However, the closure of the entitlement offer will mean the completion of the equity raising.
The remaining funds were raised through and institutional placement and equity raising.
