AGL issues shares under the retail component of the Entitlement Offer

AGL Energy Limited (AGL) today announced the successful completion of the retail component of its fully underwritten 1 for 6 pro rata accelerated renounceable entitlement offer.

On Thursday, 24 May 2012, AGL announced a renounceable entitlement offer of new AGL shares (New Shares) at an offer price of $11.60 per New Share to raise approximately $900 million (Entitlement Offer) to fund the acquisition of the 67.5% of GEAC not currently owned by AGL, to allow partial repayment of existing GEAC bank loans and for general corporate purposes including renewable energy generation.

The institutional component of the Entitlement Offer was successfully completed on Tuesday, 29 May 2012, raising gross proceeds of approximately $361 million. The retail component of the Entitlement Offer (Retail Entitlement Offer) closed on Tuesday, 19 June 2012.

Summary of Retail Entitlement Offer

The Retail Entitlement Offer attracted strong support with:

  1. $404 million received from more than 60,000 applications; and
  2. 75% of available New Shares taken up.

AGL Managing Director and CEO, Mr Fraser said, "We are delighted with the strong support shown by our retail shareholders."

"The high take-up of 75% demonstrates strong support for the acquisition of the Loy Yang A power station and adjacent coal mine," Mr Fraser said. Approximately 11.9 million entitlements will be offered under the retail shortfall bookbuild which will be undertaken after market close today, Friday, 22 June 2012. The settlement date for the Retail Entitlement Offer and the retail shortfall bookbuild is Thursday, 28 June 2012. The New Shares are expected to be issued on Friday, 29 June 2012 and commence trading on ASX on Monday, 2 July 2012.

Shareholder Enquiries

Shareholders who have questions relating to the Entitlement Offer should call the AGL Offer Information line on 1800 824 513 (within Australia) or +61 2 8280 7115 (outside Australia) from 8.30am to 5.30pm (Sydney time) Monday to Friday or go to our our website.

About AGL

AGL is one of Australia's leading integrated energy companies and is taking action toward creating a sustainable energy future for our investors, communities and customers. Drawing on over 170 years of experience, AGL operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio. AGL has one of Australia's largest retail energy and dual fuel customer bases. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, landfill gas and biomass. AGL is Australia's largest private owner and operator of renewable energy assets and is looking to further expand this position by exploring a suite of low emission and renewable energy generation development opportunities.