Downer EDI Limited/Announcement
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Appendix 3B

Capital Raise20 March 2017DOWIndustrials

Rule 2.7, 3.10.3, 3.10.4, 3.10.5
Appendix 3B

New issue announcement,

application for quotation of additional securities

and agreement

Information or documents not available now must be given to ASX as soon as available. Information and

documents given to ASX become ASX’s property and may be made public.

Introduced 01/07/96 Origin: Appendix 5 Amended 01/07/98, 01/09/99, 01/07/00, 30/09/01, 11/03/02, 01/01/03, 24/10/05, 01/08/12,

04/03/13

Name of entity

Downer EDILimited(Company)

ABN

97 003 872 848

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

1

+

Class of

+

securities issued or to

be issued

Fully paid ordinary shares (New Shares)

2Number of

+

securities issued or

to be issued (if known) or

maximum number which may

be issued

The Company proposes to issue up to

169,914,082New Sharespursuant to the

terms of thefully underwrittenpro-rata

renounceable entitlement offer with retail

rights trading announced to ASX on 21 March

2017(Entitlement Offer).

The final number of New Shares to be issued

under the Entitlement Offer, and the split of

those New Shares between institutional and

retail tranches of the Entitlement Offer, is still

to be finalised, and will be subject to the

determination of the Company and

reconciliation of shareholder entitlements.

+ See chapter 19 for defined terms.
Appendix 3B Page 204/03/2013

3Principal terms of the

+

securities

(e.g. if options, exercise price

and expiry date; if partly paid

+

securities, the amount

outstanding and due dates for

payment; if

+

convertible

securities, the conversion price

and dates for conversion)

The New Shares will be on the same terms as

existing fully paid ordinary sharesin the

Company.

4Do the

+

securities rank equally

in all respects from the

+

issue

date with an existing

+

classof

quoted

+

securities?

If the additional

+

securities do

not rank equally, please state:

the date from which they do

the extent to which they

participate for the next

dividend, (in the case of a

trust, distribution) or

interest payment

the extent to which they do

not rank equally, other than

in relation to the next

dividend, distribution or

interest payment

Yes. The New Shares will rank equally with

existing fully paid ordinary shares in the

Company.

5Issue price or consideration

$5.95per New Share.

6Purpose of the issue

(If issued as consideration for

the acquisition of assets, clearly

identify those assets)

The net proceeds of the Entitlement Offerwill

be used to partly fund the offer by the

Company to acquire all of the issued share

capitalin Spotless Group Holdings Limited

(Spotless) for $1.15 per Spotless share.

6aIs the entity an

+

eligible entity

that has obtained security

holder approval under rule 7.1A?

If Yes, complete sections 6b – 6h

in relation to the

+

securities the

subject of this Appendix 3B, and

comply with section 6i

Not applicable.

6bThe date the security holder
resolution under rule 7.1A was

passed

Not applicable.

6cNumber of

+

securities issued

without security holder approval

under rule 7.1

Not applicable.

6dNumber of

+

securities issued

with security holder approval

under rule 7.1A

Not applicable.

6eNumber of

+

securities issued

with security holder approval

under rule 7.3, or another

specific security holder approval

(specify date of meeting)

Not applicable.

6fNumber of

+

securities issued

under an exception in rule 7.2

Not applicable.

6gIf

+

securities issued under rule

7.1A, was issue price at least 75%

of 15 day VWAP as calculated

under rule 7.1A.3? Include the

+

issue date and both values.

Include the source of the VWAP

calculation.

Not applicable.

6hIf

+

securities were issued under

rule 7.1A for non-cash

consideration, state date on

which valuation of

consideration was released to

ASX Market Announcements

Not applicable.

6iCalculate the entity’s remaining

issue capacity under rule 7.1 and

rule 7.1A – complete Annexure 1

and release to ASX Market

Announcements

Not applicable.

7

+

Issue dates

Note: The issue date may be prescribed by

ASX (refer to the definition of issue date in

rule 19.12). For example, the issue date for a

pro rata entitlement issue must comply with

the applicable timetable in Appendix 7A.

Cross reference: item 33 of Appendix 3B.

Institutionalcomponent of theEntitlement

Offer: 3 April2017

Retail component of the Entitlement Offer: 24

April2017

+ See chapter 19 for defined terms.
Appendix 3B Page 404/03/2013

Number

+

Class

8Number and

+

class of all

+

securities quoted on ASX

(includingthe

+

securities in

section 2 if applicable)

594,699,286Fully paid ordinary

shares

Number

+

Class

9Number and

+

class of all

+

securities not quoted on ASX

(includingthe

+

securities in

section 2 if applicable)

Nil.Nil.

10Dividend policy (in the case of a

trust, distribution policy) on the

increased capital (interests)

Same dividend entitlements as existing fully

paid ordinary shares.

Part 2 - Pro rata issue

11Is security holder approval

required?

No.

12Is the issue renounceable or non-

renounceable?

Renounceable

13Ratio in which the

+

securities

will be offered

2 New Shares for every 5 existing shares

held as at the Record Datefor the

Entitlement Offer.

14

+

Class of

+

securities to which the

offer relates

Fully paid ordinary shares

15

+

Record date to determine

entitlements

7.00pm (Sydney time), 24 March2017

16Will holdings on different

registers (or subregisters) be

aggregated for calculating

entitlements?

No.

17Policy for deciding entitlements

in relation to fractions

Where fractions arise on the calculation of

shareholders' entitlement under the

Entitlement Offer they will be rounded up to

the next whole number of the New Shares.

18Names of countries in which the
entity has security holders who

will not be sent new offer

documents

Note: Security holders must be told how their

entitlements are to be dealt with.

Cross reference: rule 7.7.

For the institutional component of the

Entitlement Offer, all countries other than

Australia Canada, France, Germany, Hong

Kong, Ireland, Japan, Malaysia, Netherlands,

New Zealand, Norway, Singapore,

Switzerland, United Kingdom and United Arab

Emirates.

For the retail component of the Entitlement

Offer, all countries other than Australia and

New Zealand.

19Closing date for receipt of

acceptances or renunciations

For the institutional component of the

Entitlement Offer: 22 March2017

For the retail component of the Entitlement

Offer:11 April2017

20Names of any underwriters

UBS AG, Australia Branch(Underwriter)

21Amount of any underwriting fee

or commission

An underwriting fee of 1.2% of net proceeds

under the institutional component of the

Entitlement Offer and a management and

arrangement fee of 0.65% of net proceeds

under institutional component of the

Entitlement Offer.

An underwriting fee equal to 1.2% of net

proceeds under the retail component of the

Entitlement Offer and a management and

arranging fee equal to 0.65% of net proceeds

under the retail component of the

Entitlement Offer.

22Names of any brokers to the

issue

Not applicable.

23Fee or commission payable to the

broker to the issue

Not applicable.

24Amount of any handling fee

payable to brokers who lodge

acceptances or renunciations on

behalf of security holders

Not applicable.

25If the issue is contingent on

security holders’ approval, the

date of the meeting

Not applicable.

26Date entitlement and acceptance

form and offer documentswill be

sent to persons entitled

No prospectus or product disclosure

statement is being produced. However, a

Retail Entitlement Information Bookletand

Entitlement and Acceptance Form will be sent

to eligible retail shareholders on 30 March

2017.

+ See chapter 19 for defined terms.
Appendix 3B Page 604/03/2013

27If the entity has issued options,

and the terms entitle option

holders to participate on

exercise, the date on which

notices will be sent to option

holders

Not applicable.

28Date rights trading will begin (if

applicable)

24 March 2017 (on a deferred settlement

basis).

31March 2017 (on a normal settlement

basis).

29Date rights trading will end (if

applicable)

4 April 2017.

30How do security holders sell

their entitlements in fullthrough

a broker?

Eligible Retail Shareholders who wish to sell

their entitlements in full on ASX must

instruct their broker andprovide details as

requested fromtheir Entitlement and

Acceptance Form. All ASX sales of

entitlements must be made by close of the

retail entitlement trading period (4 April

2017).

31How do security holders sell part

of their entitlements through a

broker and accept for the

balance?

Eligible Retail Shareholders who wish to sell

part of their entitlements though a broker

and accept for the balance must:

in respect of the part of their

entitlements to be sold on ASX, instruct

their broker and provide details as

requested fromtheir Entitlement and

Acceptance Form; and

in respect of the part of their

entitlements to be accepted, complete

and return their Entitlement and

Acceptance Form with the requisite

Application Monies or pay the requisite

Application Monies by BPAY® by

following the instructions set out in their

Entitlement and Acceptance Form.

All sales on ASX of Eligible Retail Shareholder

entitlements must be effected by close of the

retail entitlement trading period (4 April

2017).

32How do security holders dispose

of their entitlements (except by

sale through a broker)?

Eligible retail shareholders who wish to

transfer all or part of their entitlements other

than on ASX must send a completed

Renunciations and Transfer Form(obtainable

from the Company share registry) together

with their Entitlement and Acceptance Form

and the transferee's requisite Application

Monies to the Company share registry in

relation to those entitlements that they wish
to transfer. The transferee's address must

be in Australia or New Zealand(unless

Company agrees otherwise) and the

transferee must not be in the United States

or acting for the account or benefit of a

person in the United States.

Renunciation and Transfer Forms can be

obtained through the Downer Offer

Information Lineof from a stockbroker.

33

+

Issuedate

Institutionalcomponent of theEntitlement

Offer: 3 April2017

Retail component of the Entitlement Offer:

24 April2017

Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

34Type of

+

securities

(tick one)

(a)

+

Securities described in Part 1

(b)All other

+

securities

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid,

employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible

securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or

documents

35


If the

+

securities are

+

equity securities, the names of the 20 largest holders of the

additional

+

securities, and the number and percentage of additional

+

securities

held by those holders

36


If the

+

securities are

+

equity securities, a distribution schedule of the additional

+

securities setting out the number of holders in the categories

1 - 1,000

1,001 - 5,000

5,001 - 10,000

10,001 - 100,000

100,001 and over

37


A copy of any trust deed for the additional

+

securities

+ See chapter 19 for defined terms.
Appendix 3B Page 804/03/2013

Entities that have ticked box 34(b)

38Number of

+

securities for which

+

quotation is sought

Not applicable.

39

+

Class of

+

securities for which

quotation is sought

Not applicable.

40Do the

+

securities rank equally in

all respects from the

+

issue date

with an existing

+

class of quoted

+

securities?

If the additional

+

securities do not

rank equally, please state:

the date from which they do

the extent to which they

participate for the next

dividend, (in the case of a

trust, distribution) or interest

payment

the extent to which they do

not rank equally, other than in

relation to the next dividend,

distribution or interest

payment

Not applicable.

41Reason for request for quotation

now

Example: In the case of restricted securities, end

of restriction period

(if issued upon conversion of

another

+

security, clearly identify

that other

+

security)

Not applicable.

Number

+

Class

42Number and

+

class of all

+

securities quoted on ASX

(includingthe

+

securities in clause

38)

N/AN/A

+ See chapter 19 for defined terms.
04/03/2013Appendix 3B Page 9

Quotation agreement

1

+

Quotation of our additional

+

securities is in ASX’s absolute discretion. ASX

may quote the

+

securities on any conditions it decides.

2We warrant the following to ASX.

The issue of the

+

securities to be quoted complies with the law and is

not for an illegal purpose.

There is no reason why those

+

securities should not be granted

+

quotation.

An offer of the

+

securities for sale within 12 months after their issue

will not require disclosure under section 707(3) or section 1012C(6) of

the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be

able to givethis warranty

Section 724 or section 1016E of the Corporations Act does not apply to

any applications received by us in relation to any

+

securities to be

quoted and that no-one has any right to return any

+

securities to be

quoted under sections 737, 738 or 1016F of the Corporations Act at the

time that we request that the

+

securities be quoted.

If we are a trust, we warrant that no person has the right to return the

+

securities to be quoted under section 1019B of the Corporations Actat

the time thatwe request that the

+

securities be quoted.

3We will indemnify ASX to the fullest extent permitted by law in respect of any

claim, action or expense arising from or connected with any breach of the

warranties in this agreement.

4We give ASX the information and documents required by this form. If any

information or document is not available now, we will give it to ASX before

+

quotation of the

+

securities begins. We acknowledge that ASX is relying on

the information and documents. We warrant that they are (will be) true and

complete.

Sign here: ............................................................Date: 21 March2017

Company secretary

Print name: Peter Tompkins

== == == == ==

+ See chapter 19 for defined terms.
Appendix 3B Page 1004/03/2013

Appendix 3B – Annexure 1

Calculation of placement capacity under rule 7.1 and rule 7.1A for

eligible entities

Introduced 01/08/12 Amended 04/03/13

Part 1

Rule 7.1 – Issues exceeding 15% of capital

Step 1: Calculate “A”, the base figure from which the placement

capacity is calculated

Insertnumber of fully paid

+

ordinary

securities on issue 12 months before the

+

issue date or date of agreement to issue

Addthe following:

• Number of fully paid

+

ordinary securities

issued in that 12 month period under an

exception in rule 7.2

• Number of fully paid

+

ordinarysecurities

issued in that 12 month period with

shareholder approval

• Number of partly paid

+

ordinary

securities that became fully paid in that

12 month period

Note:

• Include only ordinary securities here –

other classes of equity securities cannot

be added

• Include here (if applicable) the securities

the subject of the Appendix 3B to which

this form is annexed

• It may be useful to set out issues of

securities on different dates as separate

line items

Subtractthe number of fully paid

+

ordinary

securities cancelled during that 12 month

period

“A”

+ See chapter 19 for defined terms.
04/03/2013Appendix 3B Page 11

Step 2: Calculate 15% of “A”

“B”

0.15

[Note: this value cannot be changed]

Multiply“A” by 0.15

Step 3: Calculate “C”, the amount of placement capacity under rule

7.1 that has already been used

Insertnumber of

+

equity securities issued

or agreed to be issued in that 12 month

period not countingthose issued:

• Under an exception in rule 7.2

• Under rule 7.1A

• With security holder approval under rule

7.1 or rule 7.4

Note:

• This applies to equity securities, unless

specifically excluded – not just ordinary

securities

• Include here (if applicable) the securities

the subject of the Appendix 3B to which

this form is annexed

• It may be useful to set out issues of

securities on different dates as separate

line items

“C”

Step 4: Subtract “C” from [“A” x “B”] to calculate remaining

placement capacity under rule 7.1

“A” x 0.15

Note: number must be same as shown in

Step 2

Subtract“C”

Note: number must be same as shown in

Step 3

Total[“A” x 0.15] – “C”

[Note: this is the remaining placement

capacity under rule 7.1]

+ See chapter 19 for defined terms.
Appendix 3B Page 1204/03/2013

Part 2

Rule 7.1A – Additional placement capacity for eligible entities

Step 1: Calculate “A”, the base figure from which the placement

capacity is calculated

“A”

Note: number mustbe same as shown in

Step 1 of Part 1

Step 2: Calculate 10% of “A”

“D”

0.10

Note: this value cannot be changed

Multiply“A” by 0.10

Step 3: Calculate “E”, the amount of placement capacity under rule

7.1A that has already been used

Insertnumber of

+

equity securities issued

or agreed to be issued in that 12 month

period under rule 7.1A

Notes:

• This applies to equity securities – not

just ordinary securities

• Include here – if applicable – the

securities the subject of the Appendix

3B to which this form is annexed

• Do not include equity securities issued

under rule 7.1 (they must be dealt with

in Part 1), or for which specific security

holder approval has been obtained

• It may be useful to set out issues of

securities on different dates as separate

line items

“E”

+ See chapter 19 for defined terms.
04/03/2013Appendix 3B Page 13

Step 4: Subtract “E” from [“A” x “D”] to calculate remaining

placement capacity under rule 7.1A

“A” x 0.10

Note: number must be same as shown in

Step 2

Subtract“E”

Note: number must be same as shown in

Step 3

Total[“A” x 0.10] – “E”

Note: this is the remaining placement

capacity under rule 7.1A

Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.