Share placement and 1:9 rights offer launched to fund the acquisition of equipment finance business

Further to the ASX Release of earlier today, Bank of Queensland Limited announced this afternoon the details of the equity raising to fund the acquisition of equipment financing company UFJ Finance Australia Ltd (UFFA).


The Bank today successfully completed a placement of ordinary shares and announced a renounceable rights offer of ordinary shares to all shareholders. The placement and rights issue is underwritten by ABN AMRO Rothschild:



The placement of 3.53 million ordinary shares at an issue price of $8.50 per share (the Placement) was undertaken today.


Bank of Queensland Managing Director David Liddy said he was delighted with the response from institutional investors to the placement, which was over subscribed.


“The placement of 3.53 million ordinary shares was well supported at an issue price of $8.50 per share and is a strong response from the market,” Mr Liddy said.


“This issue price is a three per cent discount on Thursday’s closing price of $8.76,” he said.


The Placement was to a range of new and existing institutional shareholders. The Bank has applied for quotation of the Placement Shares which is expected to occur on 21 August 2003. Participants in the Placement will be entitled to participate in the renounceable rights issue.



A renounceable rights issue of 8.5 million ordinary shares (“the Rights Issue”).

Under the Rights Issue, the Bank’s existing shareholders may subscribe for one new rights share for every nine ordinary shares held, at $7.30 a share, representing approximately a 17% discount to the last closing price on August 14.


The Rights Issue shares will rank equally with ordinary shares with respect to any dividend that is declared by the Bank following the announcement of full year results on 16 October 2003.


“We are delighted to be able to offer all our shareholders an opportunity to participate in the equity-raising,” Mr Liddy said.


The proposed timetable for the rights issue is shown below:

Rights offer prospectus lodged with ASICMonday 18 August
Shares go ex-rightsThursday 21 August
Rights trading period startsThursday 21 August
Record date for rights offerWednesday 27 August
Rights trading endsMonday 15 September
Rights shares quoted on a deferred settlement basisTuesday 16 September
Acceptances closeMonday 22 September
Allotment of rights sharesMonday 29 September
Dispatch of shareholding statements
(Deferred settlement trading ends)
Wednesday 1 October
Normal trading commencesThursday 2 October



Note: This timetable can be changed at the discretion of the Bank

The Bank intends to lodge a prospectus which outlines the terms of the Rights Issue with ASIC on 18 August 2003. The prospectus will be mailed to shareholders on September 1, 2003. The prospectus will also be available on the Bank of Queensland website (


Shareholders wishing to take up their rights will need to complete the rights entitlement and acceptance form which will accompany the prospectus.