Partial history of SPP offers since 2007

By Stephen Mayne
December 6, 2015

Here is an incomplete list of companies that offered share purchase plans since 2007, including detail on whether or not we participated.

Share purchase plans are where a company offers all shareholders - regardless of size - a chance to buy up to $15000 worth of shares at a fixed price or a guaranteed discount to the market price over a prescribed period. They are usually offered by companies as a sop to small shareholders after an institutional placement. As the smallest shareholder in hundreds of listed companies, I get numerous offers but have also noticed that some companies, especially those with a controlling major shareholder, tend not to bother. Below is an alphabetical summary of SPP offers since 2007:

Share purchase plans from 2007

APA Group: subscribed to $5000 share purchase plan offer at 2.5% discount to market price over five days up until 23 November, 2007. Shares allocated on November 30 and sold for negligible profit. See full investor offer and completion announcement revealing raised $85 million issuing 23.6 million new shares at $3.59 each.

Arrow Energy: subscribed to $5000 share purchase plan at $2.35 in August 2007 and sold 2100 shares at $2.47 each, profit $252. See full investor offer and completion announcement revealing raised $33.6 million issuing 14.5 million new shares at $2.35 each.

Asciano:
offered a $5000 share purchase plan at a 5% discount to market value in August 2008. See full investor offer and completion announcement revealing raised $103.7 million issuing 5.6 million new shares at $4.30 each.

Ausdrill: offered underwritten share purchase plan at $2.40 in 2007 but the underwriters finished up stumping up more than $15 million of the $18 million due to share price weakness. See full investor offer and completion announcement revealing raised $15.2 million issuing 6.3 million new shares at $2.41 each.

Ausenco: subscribed to $5000 share purchase plan of 407 shares at $12.30 in March 2008. Shares allocated on April 16 and sold 400 at $13.55 each, profit $480. See full investor offer and completion announcement revealing raised $1.1 billion issuing 90.1 million shares at $12.30 each.

Axa Asia Pacific Holdings: put $10,000 into an SPP at $2.85 a share in May 2009 and waiting to see exit price but should be a solid profit.

Babcock & Brown Infrastructure: bought 4065 shares at $1.23 in December 2007 and sold 4000 immediately at $1.31 generating a marginal profit. See full investor offer and completion announcement revealing raised $53 million issuing 43 million new shares at $1.23 each.

Babcock & Brown Power: subscribed to $5000 share purchase plan at 2.5% discount to market price over five days up until 23 November, 2007. Sold 1700 shares at $2.92, thank goodness. Profit $35. See full investor offer and completion announcement revealing raised $44 million issuing 15.2 million new shares at $2.88 each.

Bank of Queensland: subscribed to $5,000 SPP in January 2009 and just waiting for final pricing which is a 7.5% discount to market. See full investor offer. Eventually paid $7.64 for 654 shares and sold the lot for a loss of about $200.

Bendigo Bank: bought 300 shares at $9.60 in April 2008 for $2880 and sold all 300 at $12.43 in May 2008. Tidy profit of $831. See full investor offer and completion announcement revealing raised $85 million issuing 91 million new shares at $9.60 each.

Bendigo & Adelaide Bank: subscribed to $7000 share purchase plan at $10 a share in December 2008 and sold 660 on the first day at $11.20. Profit $772. See full investor offer and completion announcement revealing raised $175 million issuing 17.5 million new shares at $10 each.

Beach Petroleum Ltd: offered a $5000 share purchase plan at $1.43 in July 2008. See full investor offer and completion announcement revealing raised $191 million at $1.43 each.

Bluescope Steel: offered retail investors up to $5,000 worth of shares at the lessor of $3.10 per share or 5% discount to the average market price over the five days leading up to the offer of close on 6 February. The shares were alloted on (unlucky) Friday the 13th of February. Sold on the next working day at $3.19 per share it was hardly worth the $160 paper profit. Check out the details of the SPP here.

Bradken: bought 621 shares at $8.05 in August 2008 and sold shares on September 8 at $11.04 per share. Profit $1,836. See full investor offer and completion announcement revealing raised $29.3 million issuing 3.6 million new shares at $8.05 each.

Ceramic Fuel Cells: ploughed $20,000 into an entitlement offer at 5c in April 2009 and got out for an average 6.25c making a gross profit of about $6000.

Commonwealth Office Fund:

Crane Group: applied for $18,000 worth of shares through two family accounts that were entitled to an SPP offer at $7.50 a share.

Crown: $5000 offer at $4.95 after a $300 million placement in late 2008.

CSL: after a big placement to fund its latest US blood-products acquisition, offered an SPP to retail investors on the same terms at $36.75 a share. Sold all 141 shares in September 2008 at $38. Profit $338. See full investor offer and completion announcement revealing raised $145 million issuing 3.95 million new shares at $36.75 each.

CSR: sold 1650 shares at $3.11 in November after subscribing to $5000 SPP at $3.06. Broke even after costs.

Cudeco: spent $5000 buying 1572 shares at $3.18 each in June 2007 and sold them for $3.47 each in July 2007. Profit of $278. See full investor offer and completion announcement revealing raised $7 million issuing 2.18 million new shares at $3.18 each.

Dart Mining: put $3000 into an SPP at 5c in April 2009.

Fairfax Media: made about $18,000 net out of its March/April 09 entitlement offer. Applied for 146,333 units at 75c per unit and was scaled back to 50,000. Bought another 33,333 units going in with a mate and we shared the profits.

Fletcher Building: subscribed to $9000 share purchase plan at $4.20 but there will be a scale back.

Flight Centre: subscribed to $5000 share purchase plan at $23.50, sold 210 at $29.95 on December 18, 2007, so profit of more than $1000. See full investor offer and completion announcement revealing raised $14.9 million issuing 635,083 new shares at $23.50 each.

Geodynamics: bought 3,300 shares at $1.50 in June 2008 and sold 3,300 at $1.46 for $4,798 on June 30. Loss on the shares $201.95, but also received 1667 free options which were sold on market at 22c each for $346.79, so overall profit $145. See full investor offer and completion announcement revealing raised $33.5 million issuing 22.3 million new shares at $1.50 each.

Graincorp: offered $5000 SPP at $9.82, sold 481 shares on April 18, 2007at $10.44 a pop raising $5003. Profit $280. See full investor offer and completion announcement revealing raised $6.5 million issuing 668,192 new shares at $9.82 each.

Hastings Diversified Utilities Fund:
subscribed to $5000 share purchase plan at lower of $3.43 or 2.5% discount to market price, based on 5 days trading to November 26. Sold 1500 shares on 7 December,2007 at $3.37. Profit $55. See full investor offer and completion announcement revealing raised $9.4 million at $3.28 each.

Hills Industries: bought $5000 worth of shares at $3.85 in May 2008 and sold them at $3.88 so barely broke even. See full investor offer .

Huntley: subscribed to 5,500 shares in October 2007 at 90c per share and sold 5,500 shares at 92c each for $5040 on October 31. Profit $90. See full investor offer and completion announcement.

IBA Health:

Macquarie Countrywide: subscribed to 2,415 shares at $2.07 and sold 2300 at $2.06 on June 28, raising $4718 for a loss of $50. See full investor offer and completion announcement revealing raised $36.7 million issuing 12.9 million shares at $2.07 each.

Macquarie Communications Infrastructure Group: bought 819 shares at $6.10 in May 2007 and sold 770 shares at $6.06 a pop on June 28, 2007, realising $4,646 and losing $51.

Mitchell Communication Group: subscribed to 4,587 shares at $1.09, sold 4377 shares at $1.19 on October 24, realising $5,141 and a profit of $417. See full investor offer and completion announcement revealing raised $6.8 million issuing 6.3 million shares at $1.09 each.

Mermaid Marine Ltd: sold 3,250 shares at $1.50 on June 30, 2008 after subscribing to a $5000 SPP at $1.45 for 3,448 shares 1 June 2008. Profit $142.55.

Nexus Energy:
bought $5000 worth at 80c and sold 6300 shares at $1.18 a pop for $7414 on May 22, 2007. One of the better plays with a profit of $2,374. See full investor offer and completion announcement revealing raised $19.2 million at 80c each.

Newcrest: $5000 SPP at $27 a share in early 2009.

Northern Energy: subscribed to $5000 share purchase plan buying 4000 shares at $1.25 a pop. Sold in two lots as follows: September 10: sold 2000 at $1.53 for net $3040 and on September 15: sold 1900 at $1.59 for net 3001. Profit $1,041, plus extra 100 shares retained so total profit more than $1100. See full investor offer and completion announcement revealing raised $21.3 million issuing 1.7 million shares at $1.25 each.

Northern Iron: offered $5000 SPP at $1 a share in April 2009 and sold out for $1.15.

Nufarm: bought 331 shares at $15.10 in March 2008. Sold 320 at $16.65 each in April 2008, profit $476. See full investor offer.

QBE Insurance: subscribed to $5000 share purchase plan at $20.50 in December 2008, but was cut back to just 50 new shares worth about $1000. Sold them on the first day, January 20, at $23.80 each, so gross profit $115. See full investor offer and completion announcement revealing raised $123 million issuing 6 million shares at $20.50 each.

Origin Energy: did a $400 million placement at $7.10, then offered SPP to small shareholders which was scaled back. Sold 230 at $8.94 on February 28, 2007, raising $2036 and making a profit of $423. See full investor offer and completion announcement revealing raised $626 million at $7.10 each.

Pharmaxis: sold 1222 shares at $4.10 in November after subscribing to $5000 share purchase plan at $3.80, profit $400. See full investor offer and completion announcement revealing raised $11.6 million issuing 2.99 million shares at $3.90 each.

Sonic Healthcare: subscribed to $5000 share purchase plan at $14.20. Sold 357 shares at $17.18 on November 26, 2007 for $6,113 so profit of more than $1000. See full investor offer and completion announcement revealing raised $63.9 million issuing 4.5 million shares at $14.20 each.

Sonic Healthcare: subscribed to another $5000 share purchase plan at $11.60 in December 2008 and sold 424 shares at $13.12 for a profit of $644. See full investor offer and completion announcement revealing raised $44 million issuing 3.8 million shares at $11.60 each.

St Barbara Mines: subscribed to $5000 share purchase plan buying 7,936 shares at 63c, sold 8,087 shares at 64c on December 19, 2007 so marginal profit after brokerage. See full investor offer and completion announcement revealing raised $22.46 million at 63c each.

St George Bank: bought $5000 worth of shares at $24.72 in February 2008 and sold 200 of the 202 shares at $24.01 in March 2008, so lost $198. See completion details.

Straits Resources: sold 1064 shares at average $6.37 after subscribing to $5000 share purchase plan at $4.70. Profit $1700.

Tamaya Resources: was cold called in May 2008 to support an SPP at 11.5c, so paid $5000 for 4,347 and then sold 43,479 at 9.2c for $3,968 in June 2008, so lost more than $1000. See full investor offer and completion announcement revealing raised $10.1 million issuing 88.1 million shares at 11.5c each.

Territory Resources: subscribed to $5000 share purchase plan at $1. Sold all stock at $1.47 on November 28, 2007. Profit $2,350. See full investor offer and completion announcement revealing raised $15.788 million issuing 15.788 million shares at $1 each.

United Group: subscribed to buy 294 shares at $17 a share totalling $4,998 and sold 294 shares at $17.64 on August 24 realising $5,166 and a profit of $146. See full investor offer.

* Go here for the shame file list of companies which did a placement to institutions but then failed to come through with a share purchase plan.

Check out all the Mayne Report business lists here.