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UPDATE 2-Australia's Inghams shares rise on debut after listing size halved
November 7, 2016 / 1:52 AM / 10 months ago

UPDATE 2-Australia's Inghams shares rise on debut after listing size halved

(Recasts to show Inghams shares rise, adds quotes from TPG advisor, adds quotes regarding Alinta Energy IPO)

SYDNEY, Nov 7 (Reuters) - Shares in Australia's biggest chicken producer Inghams rose nearly 1 percent on their market debut on Monday, as private equity firm TPG Capital Management LP's move to nearly halve the listing's size boosted its first day of trading.

The shares were trading at A$3.18 by 0410 GMT, 0.95 percent above the A$3.15 listing price and bucking a trend of generally weak appetite for initial public offerings in Australia. The broader market was up 1.2 percent.

"There are a lot of stocks that are being belted on the back of the uncertainty around the U.S. presidential election but it is a good business at an attractive price," said an adviser to TGP, who declined to be identified as he is not authorised to talk to the media.

A TPG spokeswoman declined to comment.

TPG on Friday slashed the amount it planned to raise in the Inghams listing to A$596 million ($457 million), having previously hoped to raise up to A$1.1 billion.

Inghams' positive debut will likely boost TPG's efforts to list Australian gas and electricity supplier Alinta Energy with an initial public offering potentially worth up to A$3 billion, analysts said.

The listing of Alinta has been pushed back at least a week, a person familiar with the matter said, citing market jitters over the outcome of the U.S. election.

"I think TPG will have learnt a lesson in terms of what works and what investors are looking for when Alinta comes to the market," said Ben Le Brun, market analyst, at optionsXpress.

($1 = 1.3034 Australian dollars)

Reporting by Colin Packham; Editing by Kenneth Maxwell and Stephen Coates

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