Ordinary Papua New Guineans will be able to apply to purchase at least some of 97 million shares in PNG-based financial services company Kina Securities. The company has just launched its prospectus, ahead of an expected listing on both the Port Moresby and Australian stock exchanges on 30 July.
Kina Securities this week launched the prospectus for its initial public offering (IPO) of shares. The IPO will see around 60% of the company, which recently reached an agreement to acquire the PNG business of Malaysian bank Maybank, put up for sale to institutional and private investors.
A price of K2.08 per share has been announced.
If the share issue is fully subscribed at this price, this would raise K202 million, and value the merged Kina/Maybank entity at K341 million.
Capital use
Kina Group Chief Executive Officer Syd Yates told Business Advantage PNG this week that the money raised from Kina’s IPO will be used in part to fund its purchase of Maybank’s PNG operations, and also to reduce the shareholding of Kina’s current majority owner, the Hong Kong-incorporated Fu Shan Investment Limited, to around 35% of the company.
Capital raised will also go to fund future growth of the merged businesses.
Yates said the promotion of the capital raising was going well so far, with 55 meetings with potential investors conducted in a 10-day roadshow across the region.
‘We’ve talked to a lot of funds,’ he said. ‘In the process, we’ve gone about opening up PNG to investors.’
‘We hope for a pretty good mixture of local and international investors—from New Zealand, Malaysia, Hong Kong and Australia, as well as PNG.’
PNG superannuation companies Nambawan Super, Comrade Trustee Services and Nasfund have already agreed to subscribe to shares in the new entity.
For the Port Moresby Stock Exchange, Kina’s listing will be its first new listing since September 2013.
The offer is expected to open on 7 July and close for PNG resident investors on 10 July, and on 22 July for Australian residents.
Limited numbers of shares are also being made available at no cost to eligible Kina employees, under an Employee Gift Offer.
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For those who wish to purchase common shares from any companies on IPO,Kina Securities or BSP Capital are licensed stock brokers that you can approach. Download the application form at their respective website.
I’m a village man and thinking of buying over two hundred shares. And requesting how about to get share documents sent to me please.
Wadak, you will need to buy the shares through a registered stock broker. IN PNG, there are two: BSP Capital and Kina Securities. You’ll find contact details for both on our directory page: https://www.businessadvantagepng.com/papua-new-guinea-top-100-companies/
Change of postal address
Just checking on this blog if my postal address has been amended
Thomas, you need to contact Kina directly, not this blog. Unfortunately, we don’t handle correspondence directed to companies mentioned in our editorial content.
I live in Goroka.I want to buy share worth of K1500.Is that amount acceptable.
Also whom shall I see to get more information on that.
You’ll need to purchase shares in the Kina Group through a licensed broker. There are two licensed brokers in PNG: Kina Securities and BSP Capital.
On your website under investor’s tab I read that the prospectus is dated 22nd June 2015 on the other hand the Expiry date is 31st December 2014. Is this correct??
Noel, you’ll need to address your queries directly to Kina Securities.
I want to buy K1,500.00 worth of shares. Please send me share documents
Daniel, you need to approach one of the two brokers in PNG – BSP Capital or Kina Securities themselves, or you can call the hotline on +675 321 6377.
Please send me prospectus. What is the maximum number of shares one can apply for/purchase?
Losia, you need to approach one of the two brokers in PNG – BSP Capital or Kina Securities themselves, or you can call the hotline on +675 321 6377.
Please provide to me more information on purchasing shares.
Giving ordinary Papua New Guineans an oportunity to buy shares should be a top priority under the principles of fairness, equal participation, local participation and sharing our natural common wealth for prosperity.
There seem to be a one sided affair and the situation is even worsening with the oil and gas project developments in PNG.
Avoid another situation like Bougainville or worse.
African continant had and still has its problem of exploitation and neglect of the resource owners by the rich foreign conglomorates. Siera Leon Civil War
is a lesson for the world.
developments. Avoid another situation like what happened in Bougaimbill
Send me prospectus
Wayne, you can find Kina’s prospectus by going to their website (http://www.kina.com.pg) and clicking on the ‘Investors’ tab. Alternatively, please contact one of the two licensed brokers in PNG, BSP Capital or Kina Securities, for more details of how to buy shares.
I want to purchase K2, 000 worth of shares. Appreciate share documents sent to me
Henry, you will need to contact one of the two brokers in PNG, Kina Securities and BSP Capital, to purchase shares. Kina also have a hotline to call too: +675 321 6377.