SLM acts as corporate advisor to national supermarket group FoodWorks on its successful $10.4m prospectus raising
SLM Corporate is pleased to announce that FoodWorks has successfully raised $10.4m through its member only capital raising, exceeding its $10.0m target.
FoodWorks was created through the successful merger of two independent groups; FoodWorks Supermarket Group and Australian United Retailers in late 2004. Its members operate 710 supermarkets, food and convenience stores across Australia supporting in excess of $1.35bn in annual sales at the retail level.
SLM identified the appropriate corporate structure for FoodWorks, having regard to the nature of the membership and the future capital requirements, and then presented a range of financing alternatives. Once the members decided to fund the Company from their own resources, SLM worked closely with the FoodWorks Board and internal and external specialists to formulate, then implement, the strategy. This included an extensive consultation process with members, member approval for the restructuring of the Company, and extensive prospectus and due diligence processes.
The result provides FoodWorks with an excellent platform for further growth. FoodWorks will use the capital to invest in the growth of its business including store refurbishment, acquiring new supermarket stores, investing in product development and back-end systems, and attracting and training new retailers.
For further information regarding SLM’s role, please contact:
SLM Corporate Ltd
Ph: 03 9244 9644