Virgin Blue Prospectus

[Don Esson]

Can someone tell me how to successfully request on-line a copy of the Virgin prospectus. I have been trying now for several days from differnet PC's without success. Is it me or the web-site?

Thanks.

[Whiskery]

Public won't have access to that prospectus until ASIC have approved the contents and subsequent float.

Stay tuned !

[Rudder]

It's been approved and I got mine off the VB website yesterday.

If you email me your address Don, I'll forward it to you.

[Whiskery]

Rudder I couldn't find a prospectus on the VB website, just an overview of fundraising goals. There is nothing on the ASIC site either except to say approval expected by the 17th November.

If you have access to the prospectus, could you give me the ASX code please.

[737opsguy]

Guys,

The prospecus is currently available on the website. This may help you out....

http://www.virginblue.com.au/shareoffer/pdfs/Virgin_Blue_Prospectus.pdf

[Whiskery]

Yep, that's the prospectus. Thanks 737 opsguy.

It will be interesting to see how QAN and VBA progress on the ASX over the next 12 months.:D

[Don Esson]

Thanks to all for the advice. I have a copy on PDF format but there's so much to read a paper copy is obligatory.

On the fippant side, the spunks (females, of course) in the prospectus are much better than those in my barber's copy of Who Weekly. Worth it for that alone!:D :D :D

[Major Minor]

I'd be interested to know how many of the glamours that adorn the DJ prospectus are still at DJ trying to flog caps, coffee and the loss of Richard's virginity.

[Keg]

Page 45 suggests that QF and Australian merged in September '93. They're only out by a year. QF took possession of Australian in September '92. (About the 11th I think?!?!). Wonder what else isn't as accurate as it should be! ;) :p :ok:

[Skyhawk XP]

The latest edition of The Intelligent Investor recommends you Steer Clear of the Virgin Blue float.

[Bluebottle]

Much more attractive moneymaking opportunities in the market than vb float imo...

[Ang737]

Never invest in an airline... Good way to throw away your money if you ask me. Then again I may eat my words.

[Wirraway]

AAP 14:01 AEDT Wed 19 Nov 2003

Virgin flattered by Qantas move

Virgin Blue part owner Chris Corrigan said the group was flattered by Qantas' decision to launch its own discount carrier.

Mr Corrigan's comments come after Virgin Blue began its march towards a listing on the Australian Stock Exchange, this week opening its retail offer to strong demand from the public.

"As Virgin Blue we have always said that we welcome competition and if that competition is going to come from Qantas, we welcome that," Mr Corrigan told reporters.

"One might say it is rather flattering that they believe that the best way to go forward with an airline in Australia is to copy Virgin Blue."

Australia's flagship carrier Qantas is launching a new discount domestic airline next May to take on Richard Branson's Virgin Blue in a head-to-head battle for travellers.

Qantas said last week it was in the final stages of negotiations for its new discount domestic carrier. Chief executive officer Geoff Dixon said the airline was close to deciding on a name, the type of planes to be used and where to set up the ventures head office.

According to Mr Dixon, Qantas controls around 70 per cent of Australia's aviation market with Virgin Blue controlling around 30 per cent.

Virgin Blue's retail offer is open to members of the public, employees and broker firms, with preference given to online applications and past customers whose names are on the airline's database.

The airline plans to raise up to $558 million ahead of a $2.3 billion float on the ASX proposed for December 8.

Virgin, jointly owned by Sir Richard's Virgin Group and Patrick Corp, has proposed floating 25 per cent of the company, offering shares at between $1.80 and $2.25 apiece.

Mr Corrigan was careful not to give too much away, but said the offering had been well received in the first few days since being launched on Monday.

"I don't think there has been any lack of interest to date," Mr Corrigan said.

The retail offer period, which closes on November 28, will be followed by an institutional bookbuild from December 3 to 5, with a final share price and allocation to be announced on December 8.

Once the IPO is closed, the airline will float with up to 1.06 billion shares including those owned by the Virgin Group and Patrick, giving it a market capitalisation of up to $2.3 billion.

©AAP 2003

==========================================

[B772]

Interesting to hear the following is disclosed in the Prospectus.

1) Virgin Blue was owed $20,985,000 as at 30 Sep 2003 by Plzen Pty Ltd by way of unsecured loan.

2) Virgin Blue was owed $18,623,000 as at 30 Sep 2003 by Ivanco Limited by way of unsecured loan.

3) Brett Godfrey and other entities could receive payments up to
US$18,000,000

Also, rumours abound the Aust Taxation Office has been sniffing around looking at certain transactions.

[B772]

Further info to hand is that there is a Swiss Bank Account or similar behind the scene.

[Skyhawk XP]

The public offering for DJ closed last Friday and the response was less than anticipated. The staff response has also been muted. It will be interesting to see how the institutions respond this week now the Jetstar plans have been announced and the bloodbath signalled.

Brett Godfrey joined Virgin Express in 1997 and when they went public in 1998 the offering was over subscribed 10 times !.

It will be interesting to see how the spin doctor at DJ responds with the final pricing at less than $2 per share.

Also, Brett is now being referred to as the 200 million dollar man.

[Australia2]

Interesting times ahead, that's for sure.

I think it would be a brave man making heavy investments now the battle lines are drawn. The fund managers are traditionally conservative in relation to aviation ( having been burnt before) and I think its hard to see them betting against QF ( in their many and varied forms)

[Don Esson]

Skyhawk XP wrote:

"Brett Godfrey joined Virgin Express in 1997 and when they went public in 1998 the offering was over subscribed 10 times !."

.....and we all know what's happening to Virgin Express don't we?

[bentwings]

Plzen Pty Ltd is owned by Chris Corrigan's Lang Corporation!!

So VB has kindly loaned $20 million to part owner Lang Corporation. Maybe Chris and Richard will ok a loan of other shareholders money to me if I buy some shares. :ok:

772 said:
Interesting to hear the following is disclosed in the Prospectus.
1) Virgin Blue was owed $20,985,000 as at 30 Sep 2003 by Plzen Pty Ltd by way of unsecured loan.

[Wirraway]

Dow Jones
Tuesday December 2, 5:49 PM AEDT

BRISBANE (Dow Jones)--Australia's second-biggest airline Virgin Blue said Tuesday that its initial public offering will be increased in the wake of strong interest from local and international investors.

Richard Branson's privately held company Virgin Group which holds a 46% stake in Virgin Blue, therefore may increase the number of shares it sells as part of the A$500 million-plus IPO.

Virgin Group intends to retain a 25.1% stake in Virgin Blue, from its previously proposed 29.1% holding.

"If Virgin Group's stake in the company is sold down to 25.1%, the free float of the company will increase from 25% to 29% (or approximately A$612 million at the midpoint of the indicative price range)," Virgin Blue said in statement.

The retail offer closed Nov. 28, and the institutional offer is due to open Wednesday and close Friday.

A final decision on allocation will be made at the conclusion of the institutional offering, Virgin Blue said.

Goldman Sachs JBWere and Credit Suisse First Boston are joint global coordinators to the offer.

Following the completion of the IPO, Virgin Group intends to maintain a significant stake in Virgin Blue in the long term as part of Virgin Group's global airline strategy.

As detailed in the group's 178-page prospectus, Virgin Blue's other major shareholder Australian transport group Patrick Corp. intends to maintain a 45% stake in the airline.

Virgin Blue, which has grabbed a 30% share of Australia's domestic aviation market since takeoff in August 2000, will make its debut on the Australian Stock Exchange on Dec. 8.

============================================

[Skyhawk XP]

The about face by Branson after the public offer has closed is interesting. Let me tell you some of the reasons being expounded.

1) Concerns the competition from both sides i.e QF and Jetstar will take its toll on DJ

2) The institutions are reluctant to invest due to the low number of liquid shares

The success or otherwise of the mums and dads DJ float will now be in the hands of the institutions.

[The_Cutest_of_Borg]

From a pragmatic viewpoint, why would one invest in an airline when shares of its diversified parent (Patrick) are available?

The thinking being that, if VB does well, then Patrick will do well; but if VB tanks, then it is unlikely to take Patrick down with it.

Sounds good to me but what the hell would I know?

[Wirraway]

Wed "Herald Sun"

Fund kings want more of Virgin
Olga Galacho
03dec03

OFFSHORE institutions are believed to be pressuring Virgin Group to release more shares into the bookbuild that gets underway today for the float of its cut-price airline Virgin Blue.

Virgin Blue said yesterday its parent company might consider increasing the shares it sells as part of the IPO, but would not make a final decision until the weekend.
Communications chief David Huttner said yesterday Virgin Blue was satisfied with the outcome of the retail offering, which closed on Friday.

In a statement yesterday, Virgin Group said it might release up to 4 per cent of the 29.1 per cent stake it originally intended to retain in Virgin Blue.

It said it was considering increasing the size of the offer to institutions because of the "strong response to the retail offering, considerable interest from Australian and international investors, and investor requests for greater liquidity".

Patrick Corporation, which jointly owns Virgin Blue with Virgin Group, intends to keep a 45 per cent interest in the listed airline.

Combined with Virgin's anticipated original stake of 29.1 per cent, this means less than 26 per cent of Virgin Blue stock is being offered.

Only about 15.5 per cent of that will be available to institutions.

An unnamed source said the airline wanted to woo a number of overseas institutions on to the register, but they were reluctant to invest unless greater liquidity was created.

While Mr Huttner would only confirm that institutions both here and overseas were eager to see more stock freed up, it's believed key US investors are behind the push.

"We won't make the call until we see the book and all will be confirmed by Monday, when the shares start trading," Mr Huttner said.

"There are worse problems you can have than no one wanting to sell your stock and everyone wanting to buy it," he said.

If Virgin's stake is sold down to 25.1 per cent, the free float of the company will increase to 29 per cent, or about $612 million at the mid-point of the indicative price range.

The airline will sell between 281 million and 312 million shares at between $1.80 and $2.25 a share, with the final price to be determined at the end of the bookbuild on Friday.

In other news yesterday, an upbeat outlook from Qantas about its planned no-frills airline, Jetstar, helped to push the carrier's shares up 2 per cent to $3.41.

Jetstar is designed to challenge Virgin Blue's 30 per cent market share and Qantas claims it will run from a cheaper cost base than its rival.

===========================================

[Wirraway]

Reuters
Thursday December 4, 5:48 PM AEDT

Virgin float expected to be priced at top end

SYDNEY, Dec 4 (Reuters) - The float of Richard Branson's discount Australian airline Virgin Blue was heavily oversubscribed on Thursday and is likely to be priced at the top end of the range, an industry source said.

The offer to institutions, which is scheduled to close to institutions at noon (0100 GMT) on Friday, and last week's retail offer is expected to raise more than A$600 million ($438 million).

Virgin has set an indicative price range of A$1.80 to A$2.25 a share.

"The institutional response has been pretty overwhelming, very strong and at the top end of the range," an industry source told Reuters.

The sale of shares to local and offshore institutions opened on Wednesday and final pricing will be determined over the weekend. The airline is scheduled to list December 8.

Fund managers were also tipping strong demand for the initial public offer but urged caution on Virgin Blue's performance going forward.

"There is still a lot of uncertainty hanging over how the company operationally performs," said David Maywald, investment analyst at fund manager Constellation Capital Management.

"There are a lot of guys who are keen to get exposure to this one because they've had the best years of the business model while there is limited supply."

Virgin Blue said this week it may increase the number of shares it sells in the float because of strong demand, raising the potential value of the offer to A$612 million.

The move means up to 29 percent of the three-year-old carrier may end up in public hands, instead of 25 percent previously.

Virgin may be left with 25.1 percent of the airline after the float, leaving transport group Patrick Corp with 45 percent and management five percent.

Virgin Blue, which will rank among Australia's top 70 companies, has nearly 30 percent of the domestic Australian market, competing with Qantas Airways Ltd , which is laying plans to launch a no-frills airline of its own.

Virgin Blue carried nearly seven million passengers in 29 aircraft in fiscal 2003 and has forecast a rise to 10 million passengers in 44 planes by the end of September 2004.

The IPO price for the float values the company at up to A$2.3 billion.

============================================