18 Dec 2014 09:28
Adamas Finance Asia Limited
("ADAM" or the "Company")
Disposal of interest in Global Pharm Holdings Group Inc.
Adamas Finance Asia Limited is pleased to announce that it has agreed the redemption of the whole of the convertible bond held in the Chinese pharmaceutical company, Global Pharm Holdings Group Inc., (the "Convertible Bond") for an aggregate cash consideration of US$25 million (the "Redemption").
The Redemption represents the first disposal from the portfolio of four assets acquired in the reverse takeover completed in February 2014 and is in line with ADAM's strategy of realising value from the current asset portfolio to generate cash for reinvestment in income-producing credit finance opportunities.
Under the Redemption agreement, ADAM will receive an initial payment of US$2.4 million on 31 December 2014, a further US$9 million on 31 March 2015 and a final payment of US$13.6 million on 30 April 2015, yielding an aggregate of US$25 million.
The value of the Convertible Bond in the ADAM balance sheet is US$22.4 million and the Redemption is expected to generate a profit on disposal of US$2.6million.
ADAM Chairman, John Croft said: "This is an excellent start to our programme of planned asset disposals and further underlines the strong investment management capabilities of the Adamas team in Hong Kong. We expect to use the cash received through the Redemption for investment in credit finance opportunities in due course."
Enquiries:
Adamas Finance Asia Limited | |
John Croft | +44 (0) 1825 830587 |
Nominated Adviser and Joint Broker | |
W H Ireland Limited | |
Tim Feather | +44 (0) 113 394 6600 |
Mark Leonard | +44 (0) 20 7220 1763 |
Joint Broker | |
NSBO | |
Laurie Pinto | +44 (0) 20 7024 4600 |
Public Relations Advisers | |
First City Public Relations (Hong Kong) | |
Allan Piper | +852 2854 2666 |
Tavistock Communications (London) | |
Simon Hudson | +44 (0) 20 7920 3170 |