Jul 2017 Financial News

TTNGL oversubscribed

Jul 06, 2017

CHAIRMAN of Trinidad and Tobago NGL Ltd (TTNGL) Gerry Brooks has said the TTNGL additional public offering (APO) was oversubscribed.

Brooks said the APO had a “similar effect” to the initial public offering (IPO) of 2015, which was oversubscribed by 1.77 times.

“The offer received a very robust response from existing and new investors. Initial indicators suggest that the APO was oversubscribed,” he said in a statement yesterday.

Brooks thanked TTNGL existing shareholders and re-investors, who he noted reaffirmed their confidence in TTNGL by their overwhelming subscriptions. He also welcomed new investors who expressed confidence in the strength of TTNGL and its APO of the National Gas Company of Trinidad and Tobago Limited’s (NGC) 40,248,000 Class B Shares.
The TTNGL APO commenced on June 5 and ended on June 28. Shares were offered to the public at a price of TT$21 per share. The offer price resulted in a trailing dividend yield of 7.14 per cent-the highest on the Trinidad and Tobago Stock Exchange (TTSE), the statement said. 

IPO raised $2.2 billion

The IPO of TTNGL shares in 2015 was the largest local IPO. It raised $2.2 billion for the government, well ahead of the targetted $1.5 billion.

TTNGL’s underlying asset is Phoenix Park Gas Processors Ltd (PPGPL). The statement said public investors will now hold 100 per cent of Class B Shares of TTNGL. This shareholding will represent a 75 per cent effective ownership interest in TTNGL. 

That amounts to 29.25 per cent effective ownership interest in PPGPL, it noted. Brooks said NGC’s effective ownership of PPGPL will be reduced from 63 per cent to 52 per cent. He stressed, however, that the company will still maintain control of the board of PPGPL, allowing the company to benefit from synergies across the NGC Group. The release said notification of the basis of the allocations generally and a notice in writing of the allocation to each successful applicant will be issued shortly, in accordance with the dates set out in the prospectus.

Source:
By Leah Sorias
leah.sorias@trinidadexpress.com
Trinidad Express
Wednesday July 5, 2017, 10:39 pm AST

http://www.trinidadexpress.com/20170705/business/ttngl-oversubscribed