Lukewarm response to Murray Goulburn IPO

SYDNEY: An IPO by Murray Goulburn, Australian’s biggest dairy producer, looks set to draw institutional investors only to the lower end of its book-building range, as they are put off by the lack of voting rights in the issue, bankers familiar with the matter said.

But retail and overseas investors seemed keen on the deal which sought to raise up to A$500mil (US$380mil), attracted by a projected yield of between 5.6% and 7.4%, the bankers added.