AMP shareholders do well

AMP announces the results of its pre-listing trading facility for shareholders.

Monday, June 8th 1998, 12:00AM

AMP shareholders who chose to buy additional shares through the company's pre-listing trading facility will have their orders met in full, although there were twice as many buyers as there were sellers.
In total shareholders have elected to sell a total of 149 million shares through the facility. Of those 35.5 million shares have been provisionally reserved for purchase by shareholders, employees, advisers and directors. There will be no scaling back for these additional share purchases.
All valid applications received by the closing date will be met in full, AMP says, however the final number of shares allocated will not be determined until June 22 when the facility price is known. (To see how the facility works click here).

"The unique facility developed by AMP to help its existing shareholders purchase an additional A$1000 worth of shares or sell some or all of their shares was a resounding success. It was used by approximately 37 per cent of all shareholders to either sell all or part of their holding or add to their holding, with buyers outnumbering sellers two to one," AMP says.
"In the case of those who applied to top up their AMP shareholding it is a strong vote of confidence in the future of AMP," chief executive George Trumbull says.
Strong demand from Australian and international institutions in combination with the need to achieve an orderly after market has prompted AMP to issue new capital of 3 per cent. That means about 13.5 per cent (145 million shares) of AMP's capital will be available for the institutional book build which starts on June 9.
"We believe it is important for institutions to be well represented on the AMP register. They provide on-going market support and help to focus management on the crucial task of creating shareholder value," Trumbull says.

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