April 1 (Reuters) - IDP Education Ltd IEL.AX :
* LAUNCHES EQUITY CAPITAL RAISING COMPRISING A FULLY UNDERWRITTEN A$175 MILLION INSTITUTIONAL PLACEMENT
* ALSO LAUNCHES A NON-UNDERWRITTEN SHARE PURCHASE PLAN TO RAISE UP TO A$15 MILLION
* PLACEMENT OF NEW FULLY PAID ORDINARY SHARES IN IDP WILL BE CONDUCTED AT A$10.65/NEW SHARE
* RAISING CAPITAL TO ENSURE IDP CAN NAVIGATE CURRENT COVID-19 UNCERTAINTY WITH STRONG BALANCE SHEET
* ENGLISH LANGUAGE TESTING SCHOOLS IN CAMBODIA,VIETNAM MOVED TO ONLINE; TEMPORARY CLOSURES, REDUCED VOLUMES WILL IMPACT SHORT TERM REVENUE
* REDUCTION IN STAFF COSTS THROUGH REDUCTION OF BOARD FEES AND SENIOR STAFF SALARY, USE OF PAID LEAVE, AMONG OTHERS
* SELECTIVE REDUCTION IN MARKETING AND PROMOTIONAL SPEND
* AS A RESULT OF COVID-19 DISRUPTIONS, IDP HAS ACTED TO SECURE A$40 MILLION IN OPERATIONAL EXPENDITURE SAVINGS ACROSS NEXT SIX MONTHS
* CANCELLATION OF EMPLOYEE TRAVEL IN-LINE WITH COVID-19 RESTRICTIONS
* IDP HAS ALSO DEFERRED NON-ESSENTIAL CAPEX
* POST INITIATIVES IDP EXPECTS TO HAVE AN AVERAGE OVERHEAD RUN RATE OF ABOUT A$18 MILLION PER MONTH