Selecting the most appropriate financial solution depends on, among other things, the nature of your company’s business, its position in the markets that it operates in, the profit and cash flow profile and the strength of your balance sheet.
ABN AMRO Craigs understands the needs of companies and their owners, at all stages of development. Our investment banking services are flexible and are tailored to meet your needs.
Our Investment Banking team can help develop a suitable solution to meet your particular requirements.
For more information on the services we offer, please select from the following:
Initial Public Offerings (IPOs)
We have a track record of successfully advising owners and companies who are seeking to raise capital and list their business either on the NZSX (NZ Stock Exchange), or the NZAX (NZ Alternative Exchange). Our intimate knowledge of the IPO process is matched with market intelligence on investor appetite for risk and equity research capabilities to best structure, market and price an IPO.
We work with companies and their management to prepare for capital raising and listing, liaise with the NZX to ensure that the company meets the requirements for listing, oversee the timely preparation of the necessary prospectus and associated documentation, co-ordinate the work of legal and accounting advisers, advise on the optimum offer structure and pre-offer marketing, arrange road show presentations, advise on pricing the offer and manage both initial and post-flotation demand for the stock. We utilise our unrivalled retail distribution strength, and access to institutional investors through our institutional relationships to successfully generate demand for the offer. As in recent IPOs we can also incorporate Australian broker and institutional demand.
We also provide post-IPO support, including research coverage by our accomplished research team and investor relations advice for any company that we list.
View our Equity Capital Market Credentials >>
Client Success Story - Delegats’s IPO >>
ABN AMRO Craigs' strong client base, knowledge of investor appetites and in-depth research coverage (in the case of listed companies), gives us a unique market position to efficiently and effectively raise new capital or sell down existing holdings of large investors through on-market or private transactions.
Our team has particular expertise in developing structures for rights issues and placements by listed companies and executing these often complex transactions, whilst ensuring that the company’s needs are met and a positive after-market for the shares is maintained post offer.
View our Equity Capital Market Credentials >>
Client Success Story - Methven >>
ABN AMRO Craigs acts for many public and private companies, or their shareholders, in either merger, acquisition or divestment roles.
In acquisition roles ABN AMRO Craigs typically provides all the investment banking services required to achieve a successful acquisition. Although tailored to a client’s particular needs, these often will range from advice on bidding strategy and tactics, managing the overall bid process (including the involvement of legal counsel and accounting advisors in due diligence) and include providing competitor analysis and valuation advice. ABN AMRO Craigs' continual involvement in mergers and acquisitions and range of contacts ensures that it provides relevant and timely advice as to the likely behaviour of potential competing bidders.
When undertaking divestment roles, ABN AMRO Craigs will usually advise the client on the level of expected proceeds from a sale, identify and contact potential buyers, prepare material to market the opportunity to potential buyers (such as a Flyer and Information Memorandum), oversee the due diligence process and assist in negotiating with the potential buyers to conclude a transaction. ABN AMRO Craigs' range of contacts and access to ABN AMRO’s international network means that it is ideally situated to market a divestment to both local and international buyers, be they trade buyers or private equity investors.
View our Corporate Advisory Credentials >>
Client Success Story - Evergrowth >>
ABN AMRO Craigs acts for both acquirers and target companies in public takeover situations, most of which are governed by the Takeovers Code.
When acting for a potential acquirer, ABN AMRO Craigs will typically use its knowledge of investors' sentiment towards the target company, and its shares, to help the formation of bid strategy and pricing. This is often carried out in conjunction with a careful analysis and valuation of the target company.
Having determined the optimal strategy, ABN AMRO Craigs will often then make a “no names” approach (on behalf of the potential acquirer) to the board of the target or it larger shareholders to ascertain interest in receiving a takeover offer. From this point ABN AMRO Craigs will assist negotiating lock in, or pre bid, agreements and work with the acquirer’s legal counsel to draft takeover documentation.
Once a takeover offer is launched, ABN AMRO Craigs monitors acceptances, share trading and any major changes to the composition of the target company’s shareholding base, and advises on any required changes to strategy, pricing, or waiver of conditions (such as minimum acceptance).
When acting for target company’s in takeover situations, ABN AMRO Craigs uses its knowledge of investors to devise a strategy to respond to the takeover offer. An important part of any strategy is to ensure that the underlying value of the target company is communicated clearly to shareholders in a timely fashion within the constraints of the Takeovers Code.
Other tasks will often include assisting the target company’s legal counsel with preparing the target company statement and reviewing, on behalf of the board, the Independent Adviser’s report that is required by Rule 21.
View our Corporate Advisory Credentials >>
Client Success Story - Bacardi / 42 Below Takeover >>
This is a real alternative for high-quality companies that require more time for growth and development before moving to the public markets by IPO. ABN AMRO Craigs has relationships with all the proven private equity providers, including Pohutukawa Private Equity, and can advise business owners and managers wanting to access both the capital and intellectual resources that private equity investors can offer. Our frequent contact with private equity investors means that we have an up to date, comprehensive knowledge of their investment criteria, sector preferences, financial strength and business networks.
ABN AMRO Craigs works closely with ABN AMRO and other arrangers on debt issues as generally these are larger issues and tend to be joint mandates. In addition we often work with other NZX Firms and/or banks as co-managers. This gives us the opportunity to have input into the structure and pricing of the debt instruments as well as ensuring we are offered a meaningful allocation of stock.
High Quality Rated Bonds
- Typically these issues are now arranged by banks and offered primarily to institutional investors on a retailable basis. Given the lack of new issuance by quality NZ corporates of bonds rated 'A' and above, the strong institutional demand has meant that a number of issuers prefer to make an offer without brokerage being paid as a separate item. This is most commonly NZ registered banks. On these issues we often bid for an allocation and then sell out to our clients on the secondary market and charge separate brokerage. These securities form an important part of clients' portfolios for stability of income and preservation of capital.
Hybrid debt
- This includes capital notes, redeemable preference shares and capital bonds and may pay an interest coupon or a dividend. These securities are usually unrated or at the lower end of investment grade and often have relatively complex terms and conditions. Distribution is dominated by retail investors (and not institutions) who are seeking a higher yield. As a result the offers are full retail and clients complete an application form.
View our Debt Capital Market Credentials >>
Listing can prove to be costly, and after getting to know a company we may suggest that an unlisted capital raising would be the best option.
We will work with companies and their management to prepare for the capital raising, ensure all laws relating to offers of securities to the public are complied with, oversee the preparation of the necessary prospectus and associated documentation, advise on the appropriate investor list, arrange roadshow presentations, advise on pricing the offer and manage both initial and post-flotation demand for the stock. We utilise our unrivalled retail distribution strength to ensure the success of the offer, and can market to institutional investors through ABN AMRO’s institutional relationships.
For unlisted public offers we manage, we are able to provide an off-market sales assistance facility for investors. The company may subsequently seek to list following the initial capital raising and we have extensive experience in assisting companies to meet the requirements of the NZX Listing Rules and Companies Act. At the end of 2006, ABN AMRO Craigs lead managed an unlisted capital raising for NZ Farming Systems Uruguay Limited of NZ$105m.
ABN AMRO Craigs is a leading sponsor of NZAX listed companies. We have successfully completed capital raising and M&A transactions for NZAX companies, provided research coverage and arranged other investor relations opportunities for NZAX listed companies. We have also assisted with the transfer to the NZSX when the company's circumstances best suit it.
View our NZAX Credentials >>