Alliance Aviation Services, which provides fly-in fly-out services to remote Australian mining sites, plans to brave a difficult market for initial public offerings with a float to raise A$74 million ($76 million), according to filings with the regulator.
The company said it would offer shares at A$1.60 per share, giving a market capitalisation of A$144 million. The shares will start trading on December 20. Media reports said the initial target had been to raise A$120 million but there had been a poor take-up by institutions given severe market volatility. Alliance said its earnings were mainly from long-term relationships with major miners and energy companies including BHP Billiton, Newcrest and Santos.