Infratil looks to equity raising for Vodafone NZ

Company News

by Rachael Jones

Infratil (ASX:IFT) has announced a NZ$400 million equity raising to partially fund the acquisition of Vodafone New Zealand.

Earlier this week a consortium owned by Infratil and Brookfield Asset Management announced it had executed a conditional agreement to acquire Vodafone New Zealand from the Vodafone Group for an enterprise value of NZ$3.4 billion.

The  purchase price is to be funded via a NZ$1,029 million equity contribution from each of Infratil and Brookfield, with the balance funded from Vodafone NZ level debt and a portion of equity reserved for the Vodafone NZ executive team.

Infratil's equity contribution will be partially funded via a fully underwritten NZ$100 million institutional placement and a fully underwritten NZ$300 million.

The balance of Infratil's consideration will be funded through a combination of NZ$400 million of debt from a committed acquisition debt facility and the use of existing debt facility headroom.

Shares in Infratil (ASX:IFT) closed 0.24 per cent higher at $4.25 yesterday.

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.