Aussie Broadband preps equity raise to bankroll Symbio buy
Aussie Broadband was preparing to hit up fund managers for about $120 million in fresh equity on Wednesday morning, after it agreed terms to buy Symbio.
Aussie Broadband managing director Phillip Britt.
Sources said Goldman Sachs, who advised Aussie Broadband on the bid, would lead the equity raising. Fund managers were yet to receive term sheets, and the final deal size and structure were still being finalised.
It comes after Aussie Broadband agreed to pay $3.01 per share for Symbio in a cash and scrip bid, after gazumping rival bidder Superloop. The scheme bid represented a 26.6 per cent premium to the target’s undisturbed price on July 31.
It said it would fund the purchase via 17 million shares in scrip to Symbio shareholders – about 7 per cent of the company – and new debt facilities worth $435 million which would also refinance Aussie Broadband’s existing debt.
Aussie Broadband shares last traded at $3.92 apiece. The company had a $933 million market capitalisation before the raise.
More to come
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