John Murray
Wealth Defender Equities Limited has reached the minimum capital raising target sought under its initial public offering of shares and loyalty options (IPO) with strong momentum and is on track for a listing on the ASX (which is currently scheduled for 21 May 2015).
WDE has surpassed its minimum capital target and is continuing to experience strong demand from investors. WDE’s IPO formally opened to investors on March 27, 2015 and is expected to remain open to investors until May 5, 2015.
John Murray, founder and managing director of Perennial Value Management Limited (being the manager of WDE’s portfolio of investments), said the recent completion of national investor roadshows has highlighted the strong latent demand for WDE’s unique investment strategy and that based on this, he believed WDE’s IPO will be keenly bid over the remaining offer period.
“Support amongst brokers, financial advisers and self-directed investors for the underlying WDE investment capability has been very strong, demonstrating that the timing for WDE’s IPO is spot on. We have received consistent feedback that WDE is an investment that is built right for these times,” he said.
“Also, in terms of the IPO, both the underlying investment rationale and the loyalty option structure for investors are seen as very attractive attributes, and clear differentiators from other listed investment companies in the market.”
WDE aims to enhance long term performance outcomes by allowing for participation in market upswings, whilst looking to cushion losses in significant equity market downturns.
Mr Murray said the benefit resonating most for advisers is gaining cost-effective downside protection for investors, self-managed super funds and pre-retirees.
“Linked to the ‘cushioning’ benefit is the potential for investors to compound potential future gains off a higher base from an underlying portfolio which has a bias towards ASX listed stocks outside the top 20. WDE’s portfolio will be focused on quality companies producing longer-term yield and franking benefits,” he said.
The IPO is being managed by joint lead managers Lonsec Limited, Macquarie Capital (Australia) Limited and Morgan Stanley Australia Securities Limited. Co-lead managers include Bell Potter Securities Limited, CBA Equities Limited and Ord Minnett Limited.