Senator the Hon Mathias Cormann

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The Medibank Private Share Offer has been successfully completed, surpassing expectations and returning $5.679 billion in proceeds to be re-invested in job creating infrastructure.

100 per cent of Medibank Private shares have been sold.

The level of demand from investors, both retail and institutional, was very strong.

Based on this, the Government has set a final price for Medibank Private shares for institutional investors of $2.15 per share.

Accordingly, the final price for retail investors has been set at the retail price cap of $2.00 per share.^[1]  This represents a 7 per cent discount for retail investors to the price per share paid by institutional investors.

Retail investors have been allocated 60 per cent of the shares on issue. Eligible Medibank Private and ahm policyholders have been allocated 33.2 per cent of shares allocated under the Retail Offer excluding the Broker Firm Offer.

A progressive scaling policy has been applied to the General Public Offer, Policyholder Offer and Employee Offer to ensure all applicants have been allocated shares, with larger applications being scaled back more than smaller applications.

More than half of General Public Offer, Policyholder Offer and Employee Offer applicants will receive at least 80 per cent of their application.
More than three quarters of these applicants will receive more than half of their application.

No retail investor in the General Public Offer, Policyholder Offer or Employee Offer has been allocated less than the minimum application size of $2,000.

The Retail Offer scaling policy also delivers preferential allocations to eligible Medibank Private and ahm policyholders, applicants who pre-registered and Medibank Private employees, as was outlined in the prospectus.

The Government has also exercised its right to claw back a further 20 per cent of the shares previously allocated to the Broker Firm Offer.

The pricing and allocation details for Australian public applicants will be published in major newspapers on Tuesday, 25 November 2014.  Applicants will be able to get confirmation of their individual allocation from Tuesday, 25 November 2014 by visiting medibankprivateshareoffer.com.au or calling 1800 998 778.  Applicants will need to have their Application Reference Number available.

Transaction confirmation statements will be sent to successful applicants from Thursday, 4 December 2014.

The outcome of the Offer is excellent and the level of interest in Medibank Private, both here in Australia and from global investors, positions the company well for its debut on the Australian Securities Exchange.

Medibank Private will list on the ASX at 12.00pm AEDT on Tuesday, 25 November 2014.  Its ASX code will be MPL.

The successful completion of the Medibank Private Share Offer is the result of an orderly and methodical sale process, which commenced with a scoping study back in October 2013.

The Government has achieved the sale objectives we outlined to the Australian public.

The proceeds from the sale will now be re-invested into productivity enhancing job creating infrastructure through the Government’s Asset Recycling Initiative.

Medibank Private Share Offer – Retail Offer Allocation Policy

Applicants will be able to get confirmation of their individual allocation from Tuesday, 25 November 2014 by visiting medibankprivateshareoffer.com.au or calling 1800 998 778.

General Public Offer

Applicants who applied under the General Public Offer have received allocations as follows:

Policyholder Offer

Applicants who applied under the Policyholder Offer have received allocations as follows:

Employee Offer

Applicants who applied under the Employee Offer have received allocations as follows:

For example, a General Public Offer Applicant who did not pre-register who applied for $10,000 will receive:

* The final allocation of Shares will be subject to rounding and application of the Final Price to any allocation above $250,000.

Medibank Private Share Offer at a glance

Footnotes

[1] The Retail Price will only apply to the first $250,000 worth of shares (rounded down to the nearest share) allocated to applicants under the Retail Offer. If applicants are allocated shares above $250,000, they will pay the Final Price for those shares.