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Wellard lodges prospectus for IPO and listing on Australian Securities Exchange

November 20, 2015

Wellard Limited (Wellard) has today lodged with the Australian Securities and Investments Commission (ASIC) a prospectus in relation to an initial public offering (IPO or Offer), and listing on the Australian Securities Exchange (ASX).

Retail and institutional investors have been offered 215 million Wellard shares, representing 54% of the company's issued capital, and will raise A$298.9 million based on a price of A$1.39 per share. Based on the offer price, Wellard will have a market capitalisation of A$556.0 million.

Wellard is an integrated agribusiness that connects primary producers of cattle, sheep and other livestock to customers globally through a vertically integrated supply chain. Wellard is a significant marketer and exporter of livestock and meat globally. In FY2015, Wellard was the largest exporter of live cattle from Australia, accounting for approximately 27% of all Australian live cattle exports.

To support its operations, Wellard owns or controls critical and specialist infrastructure at various stages of its supply chain including strategically located pre-export quarantine facilities and a fleet of purpose-built livestock transport vessels.

In addition to its livestock exporting and marketing business, Wellard also operates a meat processing division.

Wellard CEO Mauro Balzarini said the IPO will provide funding for a number of uses, including the financial flexibility to execute its identified growth initiatives and longer-term strategy and fund the acquisition of the IPO subsidiaries.

“Global consumer demand for red meat is growing, particularly in South East Asia. To meet that demand Wellard wants to expand its land and maritime logistics capacity; partner with customers in Asia in downstream facilities; secure sourcing of livestock via strong engagement with suppliers; and continue to develop our global supply of livestock,” he said.

“Wellard has substantial growth plans and the IPO will provide it with the ability to invest in those growth projects.

“Wellard will be listed with a conservative capital structure.”

At the completion of the IPO, a holding company, which is controlled by Mr Balzarini, will own approximately 36.6% of Wellard and Wellard management will own 3.4%.

UBS and Deutsche Bank are the Joint Lead Managers and Morgans is the Co-Lead Manager.

The Prospectus contains detailed information about the Offer, the industry and markets in which Wellard operates its business and its financial and operating performance, including the risks associated with Wellard’s marketing and export activities. The Prospectus should be read carefully and in its entirety before making any investment decision.

Media contact:
Cameron Morse, FTI Consulting
Phone: + 61 8 9485 8888
Mobile: +61 (0) 433 886 871
Website: www.wellard.com.au 

Editorial quality photographs available on request.

Additional information:
For further details please read the Prospectus which contains detailed information about Wellard and its business, the details of the Offer and a description of the key risks associated with an investment in Wellard. The Offer will be made in, or accompanied by, a copy of the Prospectus.

The Prospectus is available in electronic form at www.wellard.com.au.

Anyone considering investing in the Offer should read the Prospectus carefully and in its entirety before deciding whether to apply for Shares. Anyone who is eligible to apply and wants to acquire the securities will need to complete the application form that will be in or will accompany the Prospectus.

If you have any questions in relation to the Offer, contact the Wellard Offer Information Line on 1800 187 991 (toll free within Australia) or +61 1800 187 991 (outside Australia) between 8.30am and 5.30pm (AEDT), Monday to Friday during the Offer period.

If you are unclear in relation to any matter or are uncertain as to whether Shares are a suitable investment for you, you should seek professional guidance from your solicitor, stockbroker, accountant or other independent and qualified professional adviser before deciding whether to invest.

Key dates

Prospectus Date  Friday, 20 November 2015 
Opening of the Broker Firm Offer and Priority Offer Monday, 30 November 2015
Closing of the Broker Offer and Priority Offer Tuesday, 8 December 2015

Expected commencement of trading on the ASX on a conditional and deferred settlement basis

Thursday, 10 December 2015
Settlement Friday, 11 December 2015
Completion of the Restructure and Issue of Shares under the Offer Monday, 14 December 2015
Expected dispatch of holding statement Wednesday, 16 December 2015
Expected commencement of trading on ASX on a normal settlement basis
Thursday, 17 December 2015