Country for PR: Hong Kong
Contributor: PR Newswire Asia (Hong Kong)
Thursday, July 12 2018 - 09:00
AsiaNet
Keytone Dairy completes fund raising for ASX IPO
SYDNEY and CHRISTCHURCH, New Zealand, July 12, 2018 /PRNewswire-AsiaNet/--

- A New Zealand based manufacturer, packer and exporter of powdered dairy 
products has raised A$15 million as part of its IPO to facilitate an ASX 
listing.
- Demand significantly exceeded the maximum raise (including oversubscriptions) 
of A$15 million.
- Participation from a number of domestic Australian and offshore institutions.


Keytone Dairy Corporation Ltd ("Keytone Dairy"), has completed the fund raising 
for its proposed listing on the Australian Securities Exchange ("ASX") via an 
Initial Public Offering ("IPO"). Demand for shares in KTD significantly 
exceeded the maximum fund raising of A$12 million (up to A$15 million with 
oversubscriptions) and as a result scale backs on the number of applications 
received have been applied.

Photo - https://photos.prnasia.com/prnh/20180711/2184301-1
Selected Examples of Keytone Dairy’s proprietary product range.

Keytone Dairy conducted a targeted marketing campaign in Australia, New Zealand 
and Asia, and has attracted a number of institutional investors to its 
register. These include institutions already familiar with the powdered dairy 
market, as well as institutions with no prior investments in the sector that 
were attracted to the powdered dairy sector dynamics, as well as the growth 
potential of Keytone Dairy. Peloton Capital acted as lead broker to the IPO.

Use of funds

Upon listing, Keytone Dairy will have a market capitalisation of A$30 million 
(based on the IPO issue price of $0.20 per share). Funds from the IPO will be 
used primarily to:

--Expand Keytone Dairy's manufacturing base from its one existing facility 
(thus substantially expanding its production capacity), 
--Expand Keytone Dairy's product range, 
--Expand Keytone Dairy's existing distribution network, and 
--Develop distribution in additional geographic markets. 

Comments

Bernard Kavanagh, Keytone Dairy's Non-Executive Chairman and dairy industry 
veteran commented: "We are extremely pleased with the response we have received 
to the Keytone Dairy offer from both institutional and retail investors in 
Australia and offshore. This is a very exciting time for Keytone Dairy and we 
warmly welcome all our new shareholders to the register."

James Gong, Managing Director and Chief Executive Officer, said: "We believe 
that the ASX listing will accelerate 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. Once 
completed, these facilities will enable Keytone Dairy to both increase its 
capacity and expand into a number of new products, to meet customer demand. 
Importantly, the new facilities will enable the Company to meet demand from 
high-volume customers in China and other Asian countries."

Keytone Dairy background

As part of the IPO, Keytone Dairy will acquire Keytone Enterprises (NZ) Company 
Limited ("Keytone NZ") which is a profitable New Zealand-based manufacturer, 
packer and exporter of dairy and nutrition blended products, with a focus on 
powdered dairy products. Since 2014, Keytone NZ 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 NZ 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 NZ's products are exported globally, including to China, for sale in a 
variety of channels, including major supermarket chains, premium retail 
channels and online marketplaces. Keytone NZ's customers and distribution 
channels include, New World, PAK'nSAVE, Countdown (Woolworths New Zealand 
subsidiary), Dairyworks New Zealand, Metro, Guangzhou Dept. & Friendship Store, 
HalsoKraft, JD.com, Tmall.com and VIP.com.

The offer of ordinary shares by Keytone Dairy in Australia and to qualifying 
investors outside of Australia is made under a prospectus dated 30 April 2018 
and a supplementary prospectus dated 5 June 2018 (together the "Prospectus") 
which have been lodged with the Australian Securities and Investments 
Commission. The Prospectus is available and can be obtained from 
www.keytonedairy.com. A copy of the Prospectus can also be requested from 
Keytone Dairy's Chief Financial Officer Jourdan Thompson on the contact details 
below. 

For further information please contact:

Jourdan Thompson, Chief Financial Officer
Keytone Dairy Corporation Limited
T: +612-9299-9690
E: investors@keytonedairy.com

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indirectly, in or into, or to any person located or resident in, any 
jurisdiction where it is unlawful to release, publish or distribute this 
communication, including without limitation, the United States of America, 
including its territories and possessions, any state of the United States of 
America and the District of Colombia (collectively, the "U.S."). This 
communication does not constitute or form part of any offer or invitation to 
sell or issue, or any solicitation of an offer to purchase or subscribe for, 
any securities, and, without limitation, is not an offer of securities for sale 
into the U.S. The securities referred to herein have not been and will not be 
registered under the United States Securities Act of 1933, as amended, and may 
not be offered or sold in the U.S., except pursuant to an applicable exemption 
from registration. No public offering of securities is being made in the U.S.

SOURCE  Keytone Dairy Corporation