Hirepool poised for $300m NZX float

SARAH THOMPSON AND ANTHONY MACDONALD
Last updated 08:12 18/03/2014

Relevant offers

Industries

Health Ministry restructures as it prepares to revive flagship IT scheme Valley Girl, Temt now in receivership Shoppers descend on David Jones store in Wellington Opening day deals for shoppers at new David Jones store in Wellington ANZ Bank wins in Australian High Court bank fee case First look at David Jones department store in Wellington Valleygirl and Temt administrators search for supplier solutions Check out the world first 'un-meltable' ice cream Ryman Healthcare responds to staff pay gripes and increases directors fees Underwater glass lift proposed for Napier's National Aquarium

Hirepool has hired Deutsche Bank/Craigs Investment Partners, Macquarie Capital and UBS to manage an initial public offering on the NZX in the first half of this year, sources said on Monday.

Rothschild-advised Hirepool, which is owned by Sydney-based private equity firm Next Capital, appointed the investment banks after a beauty parade last week.

The equipment hire company is tipped to list with a market capitalisation of about $300 million and will offer investors the only pure play into the Christchurch rebuild and a rebound in Auckland construction activity.

After a few years in the doldrums, New Zealand's economy shapes as one of the strongest in the developed market. The Reserve Bank of New Zealand became the first central bank of a developed economy to raise interest rates in this economic cycle.

Hirepool was formed after Next Capital bought HireQuip from embattled private equity firm Tasman Capital in 2012 and merged the two businesses. Next, run by John White, Sandy Lockhart and Patrick Elliott, has since rationalised the branch networks and improved earnings.

The Hirepool mandates come as state-owned power provider Genesis Energy meets investors ahead of its partial sharemarket listing, and other contenders work up listing plans.

Genesis will raise as much as $808m, with the shares priced to offer investors an attractive gross yield of as much as 16.5 per cent next year. The shares will be priced between $1.35 and $1.65, with between 30 per cent and 49 per cent of the company to be sold.

Ad Feedback

- AFR

Special offers

Featured Promotions

Sponsored Content