Listed forestry company Evergreen Forests has raised $22.4 million, to be used for expansion and debt repayment, through its zero coupon convertible note issue.
Note underwriter San Francisco-based Hambrecht and Quist Guaranty Finance has ended up with a 13 per cent interest in Evergreen following completion of the issue.
As the underwriter, HQGF took up the 14.37 million notes not subscribed for. It also had an entitlement of about 1m notes.
"We are pleased with the amount of notes we are purchasing. We approached this underwriting as an investment opportunity, in which we would be acquiring an attractive security, the proceeds of which would significantly strengthen Evergreen," HQGF chief executive Donald Campbell says.
Senior company executives applied for 474,169 convertible notes under the executive share option plan.
Evergreen chairman Peter Wilson says the company is seeking to list its ordinary shares and convertible notes on the Australian Stock Exchange, in response to growing interest in the company from both Australian institutional and retail investors.
Share giveaway idea discarded New Zealand's largest medical insurer. Southern Cross Healthcare, has ruled out demutualisation.
Southern Cross has 65 per cent of the health insurance market and about 900,000 customers.
Chief executive Roger Bowie says the firm had considered a demutualisation, but discarded the idea at this stage.
He says overseas research showed mutual companies were closer to their customers than listed companies and were not driven purely by shareholder value.
At the Ascot The Ascot Hospital in Ellerslie, which is owned by Calan Healthcare Properties, was officially opened on Friday.
Calan owns the $50 million building and leases it to a predominantly doctor-owned company, called The Ascot Hospital and Clinics Ltd, which will use it to run a modern private hospital.
The facility represents the largest slice of private investment made in the healthcare sector and it is also the largest asset in Calan's portfolio.
Ascot has 12 operating theatres, 132 beds, plus an accident and emergency clinic as well as other independently operated medical support services and specialist consulting rooms.
Perpetual web launched Perpetual Trust has launched a website which provides clients, brokers and other parties with direct online access to their current product and service information, such as financial planning, wills, trusts and Enduring Powers of Attorney.
General manager business development Stuart Auld says research showed there was client need and market demand for a website.
"It is very easy to use and allows viewers immediate access to current product information.
"This new service reflects Perpetual's statement as an established by modern financial services organisation," he says.
The site can be found at www.perpetual.co.nz
FinSec calls for enquiry
The finance sector union FinSec, today called for a parliamentary inquiry into the responsibilities of banks to provide banking services. The call follows the release of the recommendations of a high-level parliamentary inquiry in Australia.
"In the past few weeks WestpacTrust has initiated a new wave of closures, with the associated loss of services to communities and job loss of bank staff," FinSec general secretary Paul Goulter says. "It is time New Zealand banks woke up the fact that community responsibility is alive and well in other countries. We should follow the Australian example and examine fallout of the closures on our communities."
The Australian parliamentary inquiry brought together representatives from financial institutions, business, government, community organisations and individuals through submissions, participation in public hearings and informal meetings.
The inquiry examined the loss of banking services, particularly in rural communities. "Earlier this month 16 WestpacTrust branches in the lower South Island shut the door on their local communities. ANZ followed with the announcement of four closures. WestpacTrust has since then announced the closure of a further 13 branches," Goulter says. "There has been no consultation with communities or staff over the impact of these closures. We should follow the Australian example and set out protocols for the banks to follow."
Among the protocols recommended by the Australian inquiry were:
* Banks should give three months notice to customers and community organisations of closing branches.
* If closing a branch, banks should waive fees and penalties relating to early payment of loans or closing accounts.
* Banks should leave behind a form of over the counter service allowing access to cash deposit and withdrawal services for personal and small business customers.
Listed forestry company Evergreen Forests has raised $22.4 million, to be used for expansion and debt repayment, through its zero coupon convertible note issue.