LONDON (Alliance News) - Investment trust RIT Capital Partners PLC Thursday said it is to issue GBP151 million in fixed-rate private placement notes.
The FTSE 250-listed trust said the notes will have tenors of 10, 15 and 20 years, with a weighted average approximate tenor of 16 years. The notes will be unsecured and pay fixed interest semi-annually at annualised coupons of between 3.00% and 3.56%, with a weighted average of 3.45%.
"This transaction will provide fixed rate, long dated, sterling denominated financing at a pricing level that the company considers attractive, and which is expected to enhance long-term investment performance," RIT said.
It will use the proceeds to repay existing float rate, short-term credit facilities. JPMorgan Cazenove is the sole placement agent on the issue.
RIT shares were down 0.3% to 1,585.00 pence on Thursday morning.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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RIT Capital Partners (RCP)