Firms: Minter Ellison (Dick Smith Holdings); Gilbert + Tobin (joint lead managers)
Deal: Dick Smith’s initial public offering (IPO) on the ASX
Area: Equity Capital Markets
Value: $520 million
Key players: Minters corporate partners Callen O'Brien (pictured) and Daniel Scotti led the transaction, with assistance from senior associate Jacqueline How, associate Joel Farina and lawyers Shane Lawrie and Andrew Hewson. Goldman Sachs and Macquarie Capital were the joint lead managers, which were represented by G+T; G+T’s team was led by partner Peter Cook, with support from lawyers Adam D'Andreti and Sarah Duerdoth. Deloitte was the investigating accountant and Ernst & Young was the tax advisor.
Deal significance: Shares representing 66.2 per cent of Dick Smith's capital are being offered at $2.20 per share, implying a market capitalisation of more than $520 million. On completion of the IPO, the business' current majority owners, being funds managed by Anchorage Capital Partners, will hold 20 per cent of Dick Smith's issued share capital. Shares are scheduled to begin trading on 4 December. Minter Ellison advised Dick Smith on all legal aspects of the IPO and listing, including legal due diligence investigations, regulatory requirements and a renegotiation of its debt facilities. Minters’ lead partner Callen O’Brien commented: “This transaction is a wonderful example of private equity identifying a non-strategic business of a larger corporation, and then working with an excellent management team to execute a turnaround plan and enable the company to grow and create significant value. We'd like to congratulate Anchorage Capital and Dick Smith's management team, lead by Nick Abboud, on this milestone transaction. It is an outstanding result.”
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