Rowsley

Rowsley: Counter has been trending between a tight range ($0.40-$0.49) the past few weeks. At this stage, Rowsley is supposed to be working towards the completion of the proposed acquisitions of RSP Artchitects Planners & Engineers and the 9.23ha land in Malaysia’s Iskandar region. Management expects the deal to be completed in 2H13 after regulatory and shareholders’ approval (resolutions have passed at its AGM held 24 Jun). Rowsley will fund the purchases, worth a combined $545m, by issuing an aggregate 3.6b new shares at $0.15 per share. Subject to the acquisitions being completed, Rowsley is also proposing 2-for-1 bonus warrants with exercise price of $0.18 per share, to be issued to the existing shareholders. Rowsley will be transformed from an investment holding company into a real estate player.