HFA has completed the necessary share float to enable the acquisition of US fund manager Lighthouse Partners.
The group completed an overnight bookbuild, a way of conducting a float where the share price is not fixed but determined through a process in which interested investors bid, at a final clearing price of $2.06 per share.
The bookbuild is part of the agreement where HFA pays US$348.5 million in cash and 134.67 million HFA shares for the United States fund of absolute return funds manager.
The new merged entity will have a $1 billion market capitalisation and around $9 billion in assets under management.
HFA shareholders will now vote to approve a resolution for the issue of shares to the Lighthouse Management vendors, as part of the acquisition, at an extraordinary general meeting on December 14.
The bookbuild price translates to a 4.2 per cent discount to HFA's closing share price of $2.15 on December 3 and a 3 per cent premium to the issue price of $2.
HFA expects to allocate the new shares under the rights issue, including those taken up under the bookbuild, on December 7.
The new shares are expected to start trading on Australian Securities Exchange on December 7.
