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Joe Aston

The secret weapons of Vocus: Credit Suisse and the NBL

Joe AstonColumnist
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Back to this week's worst performer, Vocus Group. Beyond asking oneself how a company announces a massive (up to $70 million) downgrade in earnings a full 10 months into the fiscal year and only eight weeks since it last re-affirmed said guidance, it's also worth taking a look at the role played in the enterprise telco's fortunes by house adviser, Credit Suisse.

In June last year, Vocus tapped the market for $652 million for acquisitions, including Nextgen Networks. CS underwrote the equity raising, trousering a 2.05 per cent fee (yep, that's $16.3 million – thanks for coming!) and the investment bank's clients gobbled up the offer at $7.55 per share. The share price closed today at $2.38. And now who has Vocus reportedly called in as a defence adviser? Credit Suisse!

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Joe Aston helmed The Australian Financial Review's Rear Window column from 2012 to 2023. Connect with Joe on Facebook and Twitter.

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    Original URL: https://www.afr.com/brand/rear-window/the-secret-weapons-of-vocus-credit-suisse-and-the-nbl-20170504-gvymrd