oOh!media Limited (ASX: OML; oOh!) has announced that it has successfully completed an institutional placement to raise AUD 60 million through the issue of approximately 12.6 million new shares (the Offer), as announced on Tuesday, October 11, 2016.
The placement price of AUD 4.75 per new share (Offer Price), represents a 2.9% discount to the last close price of AUD 4.89 on Monday, October 10, 2016.
A majority of the proceeds from the Offer will be used to fund the acquisition of Executive Channel Network (ECN) announced earlier this week.
The Offer attracted significant demand from both new and existing domestic and international investors, resulting in the Offer being substantially oversubscribed at the Offer Price.
oOh!’s Chief Executive Brendon Cook told us “We are very pleased with the strong level of demand for the Offer. This demonstrates support for the acquisition of ECN, our strategy in creating a diversified digital advertising platform that is unmissable and the positive outlook this transaction creates for oOh!’s future.”
Further details of the acquisition and strategic rationale can be found in the investor presentation lodged with the ASX. The trading halt is expected to be lifted prior to market open today.
Settlement of the Offer is expected on Friday, October 14, 2016, with allotment and commencement of trading of new shares expected on October 17, 2016.
Follow DailyDOOH