360 Capital managing director Tony Pitt said the offering is in line with the firm's desire to maintain a “capital light” strategy and not issue further equity to fund its growth.
“The offering will provide the capital required to complete the takeover of the 360 Capital Diversified Fund, provide revolving capital to underwrite future unlisted fund offerings as well as provide working capital for other activities the Group may be investigating,” Mr Pitt said.
“The Group was contemplating this offering when it recently announced its FY15 forecasts, and as a result, the Group’s FY15 forecast remains unchanged,” he said.
“Post completion of the Offering, the Group will have significant capital to continue to expand while remaining focused on EPS and DPS growth.”
360 Capital said that in accordance with the requirements of the Corporations Act 2001, the offering will only be open to “eligible professional and sophisticated investors”.
“No prospectus or other disclosure document in relation to the offering will be lodged with [ASIC] or any other regulatory body,” a statement from 360 Capital said.
“In addition, the Group will repay the current drawn amount of $15.8 million from its debt facility with NAB. It will, however, look to keep this $25 million facility in place to give the Group funding flexibility going forward,” the statement said.
FIIG Securities also issued a statement, in which chief executive Mark Paton said the issue is the "biggest ever unrated bond issue" it has been involved with.
“Over the past two years, FIIG has opened the unrated bond market and enabled 12 companies with diverse funding requirements to access the bond market," he said. “These issues have been for amounts of up to $100m, tenors of 5 to 7 years, unrated as well as rated and fixed/ floating rate structures.”
