Marine investment company plans to raise $20m but will not list

By NZPA

Wednesday 12th March 2003

A new marine technologies company has confirmed it will seek to raise $20 million in an initial public offering but will not list on the Stock Exchange.

CeAnic Ltd will seek $15 million in ordinary shares and $5 million in mandatory convertible notes, with room for an extra $10 million in shares and notes if oversubscribed.

Investors would make a minimum investment of $5000, at $1 per share, and in multiples of 1000 shares thereafter.

The public offering, which is not underwritten, opens today and closes on April 17.

CeAnic chairman John Storey said the new company would help innovative marine companies with investment.

"Many existing marine companies have grown through hard work and persistence. CeAnic will assist their future growth and development by providing the resources, knowledge and experience of our company and our team of internationally experienced directors and managers."

Mr Storey, a former Dairy Board chairman, is flanked on CeAnic's board of directors by former chief executive of the Trade Development Board Fran Wilde; marine businessman Wayne Shaw; world champion yachtsman Jesper Bank and investment banker Prem Maan.

CeAnic's chief executive is Hans Peder Wagner, the former head of the Danish Trade Commission in New Zealand.

Mr Storey said CeAnic would concentrate specifically on four areas of the marine industry: marine craft, aquaculture, marine tourism and marine-based renewable energy.

The company has taken 20 percent stakes in four marine companies: Saba Yachts, Smartships, Dynamic Marine Systems and a marine financing company, Guardian Capital Finance.

In return, CeAnic would issue eight million "founder shares" to an umbrella company, Guardian Capital Investments, owned by Mr Shaw and marine industry veteran John Harrhy.

Mr Storey said the founder shares would be issued to encourage Mr Shaw and Mr Harrhy's continued involvement in CeAnic.

"Capital raising exercises by other companies often amount to an exit strategy for the founders," he said. "In such cases, much of the value of the business disappears when the founders sell out."

The founder shares would convert to ordinary shares in five years after the value of CeAnic had increased by at least 40 percent.

Saba Yachts is a boat-building firm currently building its first deep-hulled expedition ship.

Smartships is a marine design company which will own copyright designs to marine craft, while Dynamic Marine Systems will specialise in marine software.

Guardian Capital Finance is chaired by former Countrywide Bank chief executive David Wolfenden.

Comments from our readers

No comments yet