The Australian Securities Exchange has announced it will conduct a fully underwritten 2 for 19 pro rata entitlement offer of new ASX shares in a bid to raise an estimated $553 million at a price of $30 per share.

The ASX has announced the program will serve three main aims:

  • Contribute $200 million of equity to ASX Clear – the clearing facility and central counterparty for all futures
  • Replace the existing $250 million debt facility of the Clear service
  • Fund current and future growth initiatives

“ASX is committed to providing Australia’s financial markets with a robust risk management infrastructure. By increasing the level of equity capital in our futures clearing house, we expect to meet emerging international capital standards for central clearing counterparties,” ASX Chairman Rick Holliday-Smith said.

ASX’s Managing Director and CEO, Elmer Funke Kupper, said that the move would consolidate the company as one of the leading exchanges in the world.