RNS7 Dec 2017 08:13
CIC Capital Ltd
Convertible Unsecured Loan Stock
RNS Number : 6667Y
CIC Capital Ltd
07 December 2017
CIC CAPITAL FUND LTD
Convertible Unsecured Loan Stock
ISSUE OF €20.00 MILLION NOMINAL OF 6.5 PER CENT. CONVERTIBLE UNSECURED LOAN STOCK 2022 AT €500 PER €500 NOMINAL UNIT
CIC Capital Fund Limited ("CIC Fund") a Canadian public Close Ended Fund issuer is pleased to advise the following:
Convertible Unsecured Loan Stock ('CULS")
The CULS is made available under the Placing at a placing price of €500 per CUL nominal. The interest rate on the CULS will be 6.5 per cent. per annum, payable quarterly in arrears. CULS Holders will be able to convert their CULS into B Class Special Series non-voting on a quarterly basis throughout the life of the CULS, commencing on 31 December 2017 and all outstanding CULS will be repayable at par on 31 December 2022. The Conversion Price is €1.15.
CIC Fund confirms that regulated intermediaries receive 12% commission on the placement of CULS to sophisticated investors.
Directors of the Company have purchased 1,400 CULS.
The Board believes that introducing structural gearing should enable the Company to generate increased total returns over the longer term by taking immediate action to fund opportunities that come available. CIC Fund normal client funds have a specific purpose use caveat for release. The Directors intend to apply the net proceeds of the Placing, which will be approximately €17.60 million, for general corporate purposes in line with the Company's business strategy.
Public Listing Convertible Unsecured Loan Stock ('CULS")
The CULS will be fully tradable on a designated European Stock Exchange to be effected on or before 31 January 2017. A separate announcement is to be made in the very near future detailing the trading platform in Europe and information circular.
Voting
Conversion
Share Value
Max No. of Securities
Capital Fund
€
€
COMMON STOCK
yes
to B class
0.06
-
B CLASS
no
to common
1.20
180 million
216,000,000
CULS
no
to B class