There has been a large appetite for shares of East London company NVest Group as it gets ready to list on the JSE’s Alternative Exchange (Alt-X) tomorrow.
The Alt-X listing is part of its formula to grow beyond Eastern Cape borders and is a move through which it intends to raise its profile, company chief executive Anthony Godwin said.
The JSE describes Alt-X as a board for good quality, small and medium-sized high-growth companies.
The company had just over 26-million shares to offer the general public at R1 each, and was over-subscribed with applications for 111-million shares. The bulk of the company’s 205-million shares would be offered to existing investors and its employees.
NVest Group director Brendan Connellan said the shares offered to the public far outstripped the number available at the lapse of the offer period.
“The initial offer period has already closed and all allocations have been made. Over 111.4-million shares were applied for, however the company only had 26.25-million shares available to the public. It was 4.25 times over-subscribed and thus we had to limit the number of shares we allocated to applicants owing to the extremely strong demand,” said Connellan.
Connellan said the company also had a share incentive scheme in place to reward key employees and directors.
“A maximum of 20.5-million shares may be allocated to employees in respect of the share incentive scheme.
“Shares incentives will be offered to exceptional individuals who offer material value to the business. No allocations have currently been made as the company is still very much focused on the initial listing,” said Connellan.
NVest’s primary rationale for the listing was to find a platform to grow beyond the Eastern Cape, Connellan said.
“The listing will also help increase the liquidity of the shares of the company as well as enable it to implement a staff incentive scheme to help attract and retain key individuals,” Connellan said.
NVest has NFB Finance Brokers, NFB Insurance Brokers, NFB Asset Management, NVest Securities and NVest Properties under its umbrella.
According to NVest corporate finance director Rob McIntyre, the company has R14-billion worth of assets under its management. Among its properties are Aspen House in Beacon Bay, People’s Place Mall in Queenstown, Masscash in Mdantsane and Hardware Warehouse in Butterworth and Mthatha.
NVest’s underlying investment properties were valued at R281.6-million at the end of the financial year.
McIntyre said: “Clients can expect an acquisition in the financial services area, providing we find a strong fit. Our business is about people and trust, and getting both right means we are not going to rush into anything.”
The 30-year-old company is one of a few Border-Kei region companies to be listed on the stock exchange in recent years. Hardware Warehouse, which has its origins in King William’s Town, listed in September 2007.
A year later Hardware Warehouse reported a nearly 75% revenue growth and a 70.4% growth in profit.
EL group’s listing piques interest
The Alt-X listing is part of its formula to grow beyond Eastern Cape borders and is a move through which it intends to raise its profile, company chief executive Anthony Godwin said.
The JSE describes Alt-X as a board for good quality, small and medium-sized high-growth companies.
The company had just over 26-million shares to offer the general public at R1 each, and was over-subscribed with applications for 111-million shares. The bulk of the company’s 205-million shares would be offered to existing investors and its employees.
NVest Group director Brendan Connellan said the shares offered to the public far outstripped the number available at the lapse of the offer period.
“The initial offer period has already closed and all allocations have been made. Over 111.4-million shares were applied for, however the company only had 26.25-million shares available to the public. It was 4.25 times over-subscribed and thus we had to limit the number of shares we allocated to applicants owing to the extremely strong demand,” said Connellan.
Connellan said the company also had a share incentive scheme in place to reward key employees and directors.
“A maximum of 20.5-million shares may be allocated to employees in respect of the share incentive scheme.
“Shares incentives will be offered to exceptional individuals who offer material value to the business. No allocations have currently been made as the company is still very much focused on the initial listing,” said Connellan.
NVest’s primary rationale for the listing was to find a platform to grow beyond the Eastern Cape, Connellan said.
“The listing will also help increase the liquidity of the shares of the company as well as enable it to implement a staff incentive scheme to help attract and retain key individuals,” Connellan said.
NVest has NFB Finance Brokers, NFB Insurance Brokers, NFB Asset Management, NVest Securities and NVest Properties under its umbrella.
According to NVest corporate finance director Rob McIntyre, the company has R14-billion worth of assets under its management. Among its properties are Aspen House in Beacon Bay, People’s Place Mall in Queenstown, Masscash in Mdantsane and Hardware Warehouse in Butterworth and Mthatha.
NVest’s underlying investment properties were valued at R281.6-million at the end of the financial year.
McIntyre said: “Clients can expect an acquisition in the financial services area, providing we find a strong fit. Our business is about people and trust, and getting both right means we are not going to rush into anything.”
The 30-year-old company is one of a few Border-Kei region companies to be listed on the stock exchange in recent years. Hardware Warehouse, which has its origins in King William’s Town, listed in September 2007.
A year later Hardware Warehouse reported a nearly 75% revenue growth and a 70.4% growth in profit.
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