Non-aligned licensee Spring Financial has officially launched its IPO, seeking $4 million in an underwritten capital raising.
The indicative market capitalisation of Spring FG at the offer price is $34 million, and the offer piece is 30 cents a share, according to a statement.
Based on the offer price, the 2014/2015 forecast dividend is 8.8 per cent fully franked, it said, and the IPO is underwritten by KTM Capital.
Spring FG chairman Guy Hedley said the IPO was a “significant step forward” for the group when it comes to both organic growth and growth via acquisitions.
"As a listed company, Spring will be better placed to fund and make further acquisitions and also expand its current business in providing wealth creation and wealth management solutions and tax and accounting services for its client base," Mr Hedley said.
KTM Capital principal Tod McGrouther said Spring FG’s business model was “unique”.
“Spring Financial Group has been profitable since its first year of commercial operations. It has a strong board and a history of paying franked dividends which presents an attractive proposition to potential investors," said Mr McGrouther.
“With continued consolidation happening in the industry Spring has an opportunity to emerge as a significant player,” he said.
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 20 Sep 2018Independent advice will prosper but must be paid for: LovedayBy James Mitchell
- 21 Sep 2018Former ASFA policy advisor to boost FPA ranksBy Reporter
- 21 Sep 2018Aligned advisers in search of freedomBy Adrian Flores
- 20 Sep 2018Banned Perth adviser did not engage in dishonest conductBy James Mitchell
- 20 Sep 2018‘No advisers have been mistreated’: DalyBy James Mitchell
- 20 Sep 2018Beacon advisers held ‘ransom’ while IIOF money remains missingBy James Mitchell
- view all