Today's other stories in brief
Origin sets €3 per share price for IPO
Origin Enterprises, the agribusiness spin-off of food group IAWS, set a price of €3 per share yesterday for its Initial Public Offering (IPO).
A total of 33.3 million newly issued shares was allocated in the IPO, which represents roughly one quarter of Origin's total issued share capital. This implies a market capitalisation for Origin in the region of €400 million.
The IPO was significantly over subscribed, and the company reported strong demand from "high quality" institutions as well as from its key stakeholders.
The proceeds of the IPO will amount to €100,000, and will be used mainly to expand the business. Origin is due to begin trading on both the IEX in Dublin and London's AIM market on June 5th.
Ulster Bank raises €1.4bn with issue
Ulster Bank Group has raised €1.5 billion through the issue of floating rate notes which will be listed on the Irish Stock Exchange. The notes have a maturity period of three years, and will provide a return of Euribor plus 0.06 per cent.
Michael Torpey, group finance director at Ulster Bank Group, described the fundraising as "a very successful transaction for us".
He said that it was necessary for the group to source ongoing funding from international capital markets as Ulster Bank continues to grow its loan asset portfolio.
Mr Torpey said that the funds raised would be used for general corporate purposes.
Yesterday's transaction was managed by Ulster Bank's parent company, the Royal Bank of Scotland group, which is Europe's third largest bank, and the nine largest in the world in terms of market capitalisation.
Tullow to focus on African wells
Oil and gas exploration and production group Tullow Oil, has said it will primarily focus on its exploration portfolio this year.
Speaking at the company's AGM yesterday chairman Pat Plunkett said Tullow would concentrate on "important high-impact wells recently commenced in Uganda and Namibia, while a multi-well programme in India is also scheduled for later in the year".
The group has plans for a total of 10 exploration wells in Africa, four of which will be in Uganda. Last year Tullow bought rival Hardman Resources in a bid to expand its presence in Africa.
Tullow also plans three gas exploration wells for the southern North Sea, but Mr Plunkett said two oil exploration wells in the central North Sea have been unsuccessful.
Although spot UK gas prices fell significantly in the second half of 2006, primarily due to new sources of supply and mild weather conditions reducing seasonal demand, Mr Plunkett expects more stability this year, which will lead to "further convergence between UK and continental European gas prices".
