Tough time for IPOs as investors fall quiet

Original article by Samantha Bailey
The Australian – Page: 25 : 24-Jul-19

HLB Mann Judd’s latest IPO Watch report shows that 23 companies listed on the Australian sharemarket in the first half of 2019, compared with 39 during the same period in 2018. Meanwhile, just $823m was raised via IPOs during the first half, down from $2.5bn in the previous corresponding period. Marcus Ohm of HLB does not expect IPO activity to improve during the September quarter, while he says the outlook for the final quarter of 2019 may depend on how the sharemarket performs. At present, just eight companies are seeking to list in the second half of 2019.

CORPORATES
HLB MANN JUDD, STANDARD AND POOR’S ASX 200 INDEX

Stockmarket boosted as Prospa prospers on debut

Original article by Joyce Moullakis
The Australian – Page: 21 : 12-Jun-19

Prospa Group’s joint CEO Beau Bertoli is upbeat about the outlook for the small business lending market, despite the slowing Australian economy. The fintech specialises in loans of between $5,000 and $300,000, and Bertoli say there is a lot of unmet demand for small business loans. Prospa’s shares peaked at $4.55 on the stock’s first day of trading on 11 June, having been issued at $3.78. Prospa has forecast a pro-forma net loss of $1.5m for fiscal 2019.

CORPORATES
PROSPA GROUP LIMITED – ASX PGL, REFINITIV, QUALITAS REAL ESTATE INCOME FUND – ASX QRI, LIFE360 INCORPORATED – ASX 360

Rationale for Foxtel IPO remains: Telstra’s Penn

Original article by Max Mason
The Australian Financial Review – Page: Online : 5-Jun-19

Telstra CEO Andy Penn has indicated that a sharemarket float of pay-TV company Foxtel is still likely at some point. He says the reasons for a Foxtel IPO are as compelling as when the proposal was first mooted several years ago. Telstra reduced its stake in Foxtel from 50 per cent to 35 per cent as part of a restructuring that resulted in the merger of Foxtel and News Corp-owned Fox Sports. Penn adds that Foxtel is still an important asset for Telstra, and the telco will retain a stake in Foxtel if it is floated.

CORPORATES
FOXTEL MANAGEMENT PTY LTD, TELSTRA CORPORATION LIMITED – ASX TLS, FOX SPORTS AUSTRALIA PTY LTD, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, KAYO SPORTS, STAN ENTERTAINMENT PTY LTD, NETFLIX INCORPORATED

Queue for new share listings shrinks after 18pc loss last year

Original article by Michael Bailey
The Australian Financial Review – Page: 17 : 31-Jan-19

HLB Mann Judd expects Australia’s IPO market to remain subdued in 2019, after a poor performance in 2018. Companies that listed in 2018 had shed an average of 18 per cent of their value by the end of the year. IPO activity was also lower, with the number of floats falling from 110 in 2017 to just 93. Marcus Ohm of HLB Mann Judd notes that the 17 companies that have applied to list on the sharemarket so far in 2019 are seeking to raise just $179m in total.

CORPORATES
HLB MANN JUDD, IFLIX LIMITED, NETFLIX INCORPORATED, VIVA ENERGY GROUP LIMITED – ASX VEA, CORONADO GLOBAL RESOURCES INCORPORATED – ASX CRN, L1 LONG SHORT FUND LIMITED – ASX LSF, ADRIATIC METALS PLC – ASX ADT, EXOPHARM LIMITED – ASX EX1, ELIXINOL GLOBAL LIMITE – ASX EXL

Challenging year in the offing for ASX listings

Original article by William McInnes
The Australian Financial Review – Page: 12 & 16 : 8-Jan-19

More than 130 companies debuted on the Australian sharemarket in 2018, but stock exchange operator ASX Limited expects the environment for new listings to be difficult in 2019. Max Cunningham, the ASX’s executive general manager of listings, says the first quarter in particular will be challenging given the recent market volatility, although the outlook for calendar 2019 will become clearer by March or April. He adds that several large technology companies are looking at IPOs, and he notes increased listing activity in the mining sector.

CORPORATES
ASX LIMITED – ASX ASX, COLES GROUP LIMITED – ASX COL, PROPERTY EXCHANGE AUSTRALIA, COLONIAL FIRST STATE GLOBAL ASSET MANAGEMENT, WISETECH GLOBAL LIMITED – ASX WTC, XERO LIMITED – ASX XRO, APPEN LIMITED – ASX APX

Year of shame puts floats on ice

Original article by Jonathan Shapiro, Sarah Thompson
The Australian Financial Review – Page: 1 & 18 : 10-Dec-18

Hugh Dive of Atlas Funds Management says the financial market is approaching the end of its bull run, resulting in lower-quality IPOs. Sebastian Evans of NAOS says many companies have no good reason for listing on the Australian sharemarket, and he does not anticipate an improvement in the quality of IPOs in the near-term. Meanwhile, Andrew Stevens of UBS says investors are becoming more selective with regard to IPOs. Coronado Global Resources and Viva Energy are among the recent IPOs that have underperformed.

CORPORATES
ATLAS FUNDS MANAGEMENT PTY LTD, NAOS ASSET MANAGEMENT LIMITED, UBS HOLDINGS PTY LTD, CORONADO GLOBAL RESOURCES INCORPORATED – ASX CRN, VIVA ENERGY GROUP LIMITED – ASX VEA, REDCAPE HOTEL GROUP – ASX RDC, SMILES INCLUSIVE LIMITED – ASX SIL, EVANS DIXON LIMITED – ASX ED1, BLUE SKY ALTERNATIVE INVESTMENTS LIMITED – ASX BLA, PROSPA GROUP LIMITED, RAIZ INVEST LIMITED – ASX RZI, TRIMANTIUM GROWTHOPS LIMITED – ASX TGO, RCR TOMLINSON LIMITED – ASX RCR, LATITUDE FINANCIAL PARTNERS, WOODSIDE PETROLEUM LIMITED – ASX WPL, TRANSURBAN GROUP LIMITED – ASX TCL

New era as Coles breaks free

Original article by Eli Greenblat, Sarah-Jane Tasker
The Australian – Page: 17 & 20 : 22-Nov-18

Shares in Coles Group closed at $12.75 on 21 November, after the stock listed at $12.49 following its demerger from Wesfarmers. Coles has a market capitalisation of about $16bn, ranking it among Australia’s 20 largest listed companies. Alphinity Investment Management’s Bruce Smith expects some volatility in Coles’ share price in the near-term, as investors decide whether to buy into the stock or sell their holdings. Vertium Asset Management’s Jason Teh adds that Coles has a higher level of higher investment risk than grocery rival Woolworths.

CORPORATES
COLES GROUP LIMITED – ASX COL, ALPHINITY INVESTMENT MANAGEMENT PTY LTD, VERTIUM ASSET MANAGEMENT PTY LTD, WOOLWORTHS GROUP LIMITED – ASX WOW, WESFARMERS LIMITED – ASX WES, ALDI STORES SUPERMARKETS PTY LTD, COSTCO WHOLESALE AUSTRALIA PTY LTD, AMAZON.COM INCORPORATED, SOUTH32 LIMITED – ASX S32, SUNCORP GROUP LIMITED – ASX SUN, ARISTOCRAT LEISURE LIMITED – ASX ALL

Coles finally checks out from Wesfarmers

Original article by Eli Greenblat, Paul Garvey
The Australian – Page: 19 & 29 : 16-Nov-18

The demerger of grocery giant Coles was supported by more than 98 per cent of votes cast at a special meeting of Wesfarmers shareholders on 15 November. The Perth-based conglomerate will retain a 15 per cent stake in Coles when its shares begin trading on a deferred settlement basis on 21 November. Wesfarmers chairman Michael Chaney has dismissed any concerns about an overhang, stressing that the company intends to retain its Coles stake in the long-term. Wesfarmers shareholders will be allocated Coles shares on a one-for-one basis.

CORPORATES
WESFARMERS LIMITED – ASX WES, COLES GROUP LIMITED, BUNNINGS GROUP LIMITED, WOOLWORTHS GROUP LIMITED – ASX WOW, ALDI STORES SUPERMARKETS PTY LTD, AMAZON.COM INCORPORATED, METCASH LIMITED – ASX MTS

PINCHme debut proves painful for rich backers

Original article by Ben Butler, David Swan
The Australian – Page: 17 & 27 : 25-Oct-18

Shares in PINCHme closed at $0.39 on 24 October, after the stock listed at $0.50. The data harvesting firm’s IPO raised $8m, and it was originally slated to list on the Australian sharemarket in September. However, the ASX had asked the company to disclose additional information to investors. PINCHme supplies consumers with free product samples in return for a range of personal data, and its panel members’ feedback is provided to the brands’ owners. PINCHme currently only operates in the US, and it has no immediate plans to establish operations in Australia.

CORPORATES
PINCHME.COM INCORPORATED – ASX PIN, EVEREST BABCOCK AND BROWN INCOME FUND, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, NESTLE SA, PROCTER AND GAMBLE COMPANY, TOLL HOLDINGS LIMITED, LJCB HOLDINGS, STERNSHIP, UBS HOLDINGS PTY LTD

Coronado Coal burnt as shares dip on debut

Original article by Matt Chambers, Samantha Bailey
The Australian – Page: 21 : 24-Oct-18

Coronado Coal has a market capitalisation of around $3.5bn after the stock closed at $3.60 on its first day of trading on the Australian sharemarket. Shares in Coronado were issued at $4 apiece, at the bottom end of the indicative range of between $4 and $4.80 in its prospectus. Coronado acquired the Curragh coking and thermal coal mine in Queensland from Wesfarmers earlier in 2018, while it also owns coking coal mines in the US.

CORPORATES
CORONADO GLOBAL RESOURCES INCORPORATED – ASX CRN, WESFARMERS LIMITED – ASX WES, SHAW AND PARTNERS LIMITED, WHITEHAVEN COAL LIMITED – ASX WHC, YANCOAL AUSTRALIA LIMITED – ASX YAL, NEW HOPE CORPORATION LIMITED – ASX NHC, STANMORE COAL LIMITED – ASX SMR, ENERGY AND MINERALS GROUP, ATLAS FUNDS MANAGEMENT PTY LTD, BHP BILLITON LIMITED – ASX BHP, STANWELL CORPORATION LIMITED, GOLDMAN SACHS AUSTRALIA PTY LTD, BELL POTTER SECURITIES LIMITED, CREDIT SUISSE (AUSTRALIA) LIMITED, UBS HOLDINGS PTY LTD