Australia’s Nine Entertainment set to raise some A$600 million in IPO, says source-Reuters

(Reuters) – Media and entertainment group Nine Entertainment Co Pty Ltd (IPO-NEL.AX: Quote, Profile, Research, Stock Buzz) is set to raise some A$600 million ($569 million) in an initial public offering and is expected to list on December 6, a person familiar with the process said.

The IPO is expected to be the biggest by an Australian company this year and comes at a busy time for new listings Down Under.
Shares will be offered in an indicative price range of A$2.05 to A$2.35 a share, giving the company a market capitalization of A$1.9 billion to A$2.2 billion, the person said.

Hedge fund Oaktree Capital Group (OAK.N: Quote, Profile, Research, Stock Buzz), which owns some 28 percent of Nine is expected to offload between 20 percent and 40 percent of its stake. Apollo Global Management (APO.N: Quote, Profile, Research, Stock Buzz), its other major stakeholder, is expected to hang on to all of its holding.

The IPO prospectus will be lodged on Monday.

A spokeswoman for Nine declined to comment.