Brokers will control about 40% of Steadfast when the company floats on the Australian Securities Exchange, according to its final prospectus filed on Thursday.

The scale of the float, scheduled for August 2, is bringing the group into greater focus, with its initial public offering target of $334 million expected to be the largest this year.

Steadfast will issue 278 million to 334 million shares for between $1 and $1.20. It expects to have a market cap of $545 million to $587 million, and an enterprise value of up to $548 million.

The company, which will have equity stakes in 62 broking/underwriting businesses upon listing, is also issuing 135.3 million shares to its broker network as payment and 65.2 million shares under a pre-float restructure of its business.

The new prospectus contains mostly the same information as the original version issued on June 28, with some additional disclaimers. 

The old prospectus helped brokers selling their businesses into the new company decide how much cash or shares they wanted as payment. These decisions were finalised last Tuesday. 

It also said 134 million to 467 million shares would be issued. The 278 million-334 million range has now been finalised.

Chairman Frank O’Halloran says Steadfast brokers – network members who have not sold into the company and “equity brokers” who have – will hold 37% to 41% of the Steadfast stock, with directors holding 3%. Brokers’ stock will be held in escrow until September next year.

Steadfast estimates it will produce a dividend yield in the range of 3.3% to 4.7%.

There had previously been uncertainty about non-selling brokers’ willingness to buy shares, but it is understood a significant number have now indicated their willingness to buy in while maintaining their independence.

The prospectus warns the value of the stock could fall if brokers sell down the shares when they are no longer in escrow.