Bank of Queensland Limited (BOQ) announced today at its AGM an offer to eligible shareholders to apply for up to $10,000 worth of ordinary shares under the Bank of Queensland Share Purchase Plan (Plan), at an issue price discounted to the average market price of BOQ shares on ASX.
Funds raised from the Offer will further strengthen the Bank's capital position and enable it to take advantage of future growth opportunities. The capital raised will be Tier 1 capital for the purposes of APRA Prudential Standards.
The issue price under this offer is equal to the lesser of:
- a 7.5% discount to the volume weighted average price over the 5 business days before and including the closing date for the offer on which shares are traded (pricing period); and
Therefore the maximum price that eligible shareholders will pay is $10.08 per share, being the amount paid by participants in the recent dividend reinvestment plan issue and partial underwriting of that plan.
There are no brokerage or other transaction costs for shareholders attached to the offer.
Eligible shareholders will be able to choose the amount they subscribe for new shares from either $1,000, $3,000, $5,000, $7,000 or $10,000 worth of new shares.
Participation in the Plan offer is open to all registered ordinary shareholders of Bank of Queensland as at 7.00pm (Sydney time) on Wednesday 10 December 2008 and whose registered address is in Australia or New Zealand. It is not possible for holders of BOQ shares with registered addresses in other jurisdictions to participate in the Plan offer.
The timetable for the offer is as follows (dates are subject to change):
Despatch Plan offer document to shareholders
By Monday, 15 December 2008
Closing date for offer
Friday, 23 January 2009
Monday, 2 February 2009
Despatch allotment confirmations
Thursday, 5 February 2009
Quotation of new shares on ASX
Friday, 6 February 2009
There is no minimum or maximum amount to be raised under this offer. The Board may decide to issue to any person fewer new shares than that person applied for under the Plan offer. This may be by way of a scale back mechanism which will be announced if necessary.
Shareholders are encouraged to consider the offer carefully and to obtain their own financial advice in relation to the offer before applying for shares. The Bank has appointed ABN AMRO Morgans Limited as Lead Manager to the Plan.