Australian dark fibre company Superloop (ASX:SLC) has debuted on the ASX after a successful $17.5m raising in its Initial Public Offering (IPO). The directors of the company said they were pleased to see Superloop commence trading on Thursday. SLC soared on its debut rising over 100% when it started to trade under the ticker ‘SLC’ from 11:00am AEST. The company hopes to become an independent provider of high-speed data services in the Asia Pacific region.
Under the IPO, around 59.5m shares were sold for $1 each. More than 2,300 investors participated in the IPO. Bevan Slattery, PIPE Networks co-founder, will retain a 66.67 majority stake in the company. After the IPO, Superloop had a market capitalisation of around $90m. The funds from the IPO will be used to complete the construction of the Australian and Singapore networks, operate and maintain those networks, hire additional sales representatives and continue to evaluate new growth opportunities. “Superloop remains on track to achieve its planned ‘network live’ milestone during the third quarter of 2015 for its initial core networks in Australian and Singapore,” said Chief Executive Officer Daniel Abrahams.
SLC was initially offered at $1 per share, but is now trading significantly higher. SLC has jumped over 100 per cent in its market debut and is trading at $2.07 around 2:20pm on Thursday. Its market capitalisation has therefore doubled in a few hours. Superloop was founded in 2014 with the aim to provide dark fibre connectivity services to large network providers and enterprises. Its first asset was an exclusive 15-year deal to have access to a 130km fibre network connecting key data centres in Brisbane, Sydney and Melbourne.
Author: Imran Valibhoy
Jun 04, 2015
Since Joining the firm in 2006, Imran has worked on a range of M&A and Capital Market transactions in the natural resources, mining as well as projects in the renewable energy sector. Prior to joining Wise-owl, Imran worked at Euroz Securities in Perth, aiding in the advisory and valuation of companies in the mining and industrial sectors in Australia. Imran has a Masters in Banking & Finance from City University's Class Business School in London and a Bacheloor degree in Commerce from UWA.