Keytone Dairy, an Australian wholly-own subsidiary of Keytone Enterprises (NZ) Company Ltd, has lodged its Prospectus with ASIC in order to raise up to $15 million and list on the Australian Securities Exchange via IPO.
The Company is aiming to raise $12 million (up to $15 million with oversubscriptions) in connection with the IPO to facilitate a listing on the ASX through the issue of 60 million (up to 75 million with oversubscriptions) shares at an issue price of $0.20 per share, with the offer due to close on 1 June 2018. The Company has reserved discretion to close the IPO early. Peloton Capital is the Lead Manager of the IPO. Once listed, the Company will have a market capitalisation of $30 million (based on the IPO issue price of $0.20 per share and after the maximum subscription of $15 million being raised).
Keytone Dairy is a New Zealand-based manufacturer, packer and exporter of dairy and nutrition blended products, with a current focus on powdered dairy products. Since 2014, Keytone Dairy has been using its proprietary manufacturing facility in Christchurch, New Zealand, and has commercialised whole and skim milk powder as well as other dairy powder blends under its proprietary brands. Keytone Dairy also contract-packs a range of powdered dairy products for major supermarkets, retail chains, dairy producers and other customers, in New Zealand and China, under their private label brands.
Keytone Dairy holds the coveted China Certification and Accreditation Administration (CNCA) license, a pre-requisite for importation of dairy products into the People’s Republic of China. It is also Halal-certified, enabling exports into Muslim countries.
“China’s per capital dairy consumption is less than one third of the global average but rapidly growing. Keytone has been able to capitalise on this rapidly growing market with its clean, green and high quality New Zealand dairy products,” said Bernard Kavanagh, Non-Executive Chairman of Keytone Dairy, and dairy industry veteran.
“We believe that the ASX listing will turbocharge Keytone Dairy’s growth. Keytone Dairy has already purchased land for two new manufacturing facilities it plans to build, in addition to its purpose built existing Christchurch facility.”