Diversified financial services company Spring FG Limited (Spring FG) today announced that the initial public offering (IPO) of its shares (Spring FG Share Offer or Offer) has been oversubscribed in advance of its intended closing date following strong demand from institutional and retail investors as well as existing shareholders of the Company.
The Offer, underwritten by KTM Capital Pty Ltd, was for the issue of 13,333,333 Shares at $0.30 per Share to raise $4,000,000. The indicative market capitalisation of the Company at the Offer Price is $34,186,526.
Spring FG managing director, Mr Keith Cullen, said “Our goal is to accommodate as many new shareholders as possible so as we work through the next steps of settlement and allotment we’ll be endeavouring to avoid a scale back of retail investors”.
Mr Cullen said the IPO was a major step for the Company that will see it better placed to fund and make further acquisitions and expand its current business in providing wealth creation and wealth management solutions and tax & accounting services for its client base.
He added, “With continued consolidation happening in the industry Spring has an opportunity to emerge as a significant player”.
Chairman says track record of profits and franked dividends fuelled demand
Spring FG chairman, Mr Guy Hedley, said, “Not many small-cap and micro-cap Company’s can boast having been profitable since their first year of commercial operations as Spring Financial Group has been, and even fewer have a history of paying franked dividends.”
“These factors and the success the Company has already achieved with its fresh approach to wealth management and financial services have clearly presented an attractive proposition to both retail and institutional investors”, said Mr. Hedley.
Trading of shares expected to commence on ASX early March
The Company said that that is expected settlement, issue and allotment of shares to be completed by around 24 February 2014, after which holding statements will be despatched. It then expected its shares to commenced trading on the ASX around 2 March 2014 with the listing code SFL.
About Spring FG Limited
Spring FG Limited (Spring FG) is a diversified financial services company with products and services encompassing financial planning and investment advice; wealth creation and wealth management solutions; insurance and superannuation; finance; and tax & accounting services. Its advice and product offerings are broad and include a specialisation in the high-growth markets of self-managed superannuation funds (SMSFs); and direct and SMSF residential real estate investment.
Spring FG products and services are delivered to clients through its wholly-owned subsidiaries (and divisions) that operate under the banner of Spring Financial Group from offices in Sydney, Melbourne, Brisbane and Canberra. The key companies within the group are Spring Financial Group Pty Ltd (AFSL 391655); Spring FG Realty Pty Ltd; Spring FG Accounting Pty Ltd; and Spring FG Finance Pty Ltd. Spring FG also offers financial education services to all Australians free-of-charge through its Wealthadviser Financial Education division that has published more than 50 financial education eBooks and conducts regular free financial education seminars.
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