LONDON (Alliance News) - Globo PLC on Wednesday said it has delayed its proposed issue of senior secured high yield notes due to market conditions.
Globo said it will continue to explore "major acquisition opportunities" and "related funding". Acquisition will be smaller than previously envisaged if no bond financing goes ahead.
"We have identified the opportunity to significantly scale our operations through major acquisitions and sought to fund this process via the high yield market. The high yield notes would have secured the resources and structure to enable us to focus on execution of more significant acquisition opportunities without the need to revisit the markets on a case by case basis," Chief Executive Costis Papadimitrakopoulos said in a statement.
"Market events, notably the situation in Greece initially and latterly the impact of events in China, have meant that conditions have not proved conducive to cost-effective funding via this route. We do, however, retain our existing strong bank finance relationships and will continue to explore opportunities for growth through acquisition and related prudent financing," Papadimitrakopoulos added.
Shares in Globo were down 12.0% at 29.00 pence on Wednesday.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
Copyright 2015 Alliance News Limited. All Rights Reserved.