MEDIA RELEASE: NAPIER PORT
8 August 2019

Napier Port announces the final price of its initial public offer (IPO) at $2.60 per share which is at the top of the indicative price range.

Napier Port Chair Alasdair MacLeod says: “Napier Port is pleased with the results of the bookbuild which was significantly over-subscribed with strong support from Hawke’s Bay, New Zealand and international investors. This positions Napier Port well for its planned debut on the NZX later this month and for the long term.”

Allocations to the priority pool, institutional investors and NZX firms reflected several objectives, including providing a priority allocation to Hawke’s Bay, building a quality register of shareholders to support the Port post-listing and setting the Port up for success in the longer term.

“Hawke’s Bay Priority Offer groups have been allocated 20% of the shares on offer. Close to 90% of applicants received their application in full, with only those who requested over $10,000 having their applications scaled. Of the eligible Port employees, 97% took up the Priority Offer. Four of the eligible iwi groups participated, receiving a priority allocation. On listing, Napier Port will be approximately 90% New Zealand owned[1].”

The strong level of total demand has meant that material scaling has been necessary across all investor groups.

Napier Port has now allocated shares to NZX firms who are participating in the Broker Firm Offer. Clients of participating NZX firms are able to apply for shares with their brokers under the Broker Firm Offer, which closes at 5.00pm (NZT) on 16 August 2019 (full details are available online at: www.napierportshareoffer.co.nz). There is no public pool of shares available in the Broker Firm Offer.

Napier Port plans to allot shares to all successful applicants to the IPO on Monday 19 August 2019. Trading of the shares is planned to commence following the official listing of Napier Port on the NZX Main Board and the opening of trading on Tuesday 20 August 2019.

[1] Including Hawke’s Bay Regional Council, Priority Offer, Broker Firm Offer and NZ-based institutions.

Notes to editors:

Napier Port is offering 90 million shares in the IPO, representing a 45% stake in the company. The final price of $2.60 per share implies a market capitalisation of Napier Port of $520 million on listing and a capital raising of $234 million. Of the capital raised, $110.2 million will be used to repay the Port’s existing debt and provide cash and undrawn debt facilities sufficient to meet the Port’s future capital requirements, including the construction of a new multi-purpose wharf, 6 Wharf.

A further $107.9 million of the capital raised in the IPO will enable the Port’s current owner, Hawke’s Bay Regional Council, to realise a portion of its investment in the Port. The remainder will be used to fund interest-free limited recourse loans to Eligible Port Employees to buy shares in the Port and to meet the costs associated with the IPO.

Further information in respect of the Final Price and related investment metrics will be made available on the Offer Register (www.business.govt.nz/disclose) under Napier Port’s offer number (OFR12679) under the document entitled “Final Price Information”.

TABLE 1: Upcoming key dates

About Napier Port

Napier Port is New Zealand’s fourth largest port by container volume. We are the main gateway for Hawke’s Bay exports and operate a long-term regional infrastructure asset that supports the regional economy. Our strategic purpose is to collaborate with the people and organisations that have a stake in helping our region grow.

Important Notice

Napier Port Holdings Limited (Napier Port) is the issuer of the shares to be issued under the offer to which this media release relates.  A product disclosure statement for the offer, which sets out the terms and conditions of the offer, is available, and can be obtained from www.business.govt.nz/disclose, offer number (OFR12679) or calling 0800 041 042. Nothing in this media release constitutes an invitation to subscribe for, or an offer of, shares, securities or financial products to any person, in any country in which it would be unlawful to do so.

Application has been made to NZX Limited (NZX) for permission to list Napier Port and to quote its shares on the NZX Main Board. However, NZX accepts no responsibility for any statement in this media release. The NZX Main Board is a licensed market operated by NZX, which is a licensed market operator, regulated under the Financial Markets Conduct Act 2013.

Napier Port, its shareholder, the Joint Lead Managers, the Co-Manager, their respective affiliates and advisers, and each of their respective directors, shareholders, employees and representatives make no representation, warranty or undertaking, express or implied, as to the fairness, accuracy, reliability or completeness of, and to the maximum extent permitted by law hereby disclaim and shall have no liability for any loss arising from, this media release.

This media release is not intended for release outside of New Zealand.