20 Jul 2018 07:00
TERRA CAPITAL PLC (THE "COMPANY")
COMPULSORY REDEMPTION OF SHARES
Legal Entity Identifier: 2138006S6U2X7L4R8V74
20 July 2018
Further to the Company's previous announcements and as per the Compulsory Redemption mechanism outlined in the Company's Circular dated 15 June 2018 (the "Circular"), the Company advises that it will return to Shareholders by way of a compulsory partial redemption of Ordinary Shares an amount of approximately $36.8 million.
The Investment Manager continues to realise the portfolio of investments and the Board expects to announce a second redemption early in quarter four of 2018.
The percentage of Ordinary Shares being redeemed has been determined at the Directors' sole discretion and does not relate to the percentage of proceeds being distributed following the realisation of the Company's portfolio. The number of Ordinary Shares to be redeemed in aggregate in this first redemption will represent 60 per cent. of the Company's issued share capital (the "Redemption") as at close of business on Wednesday 25 July 2018 (the "Redemption Record Date"). .
Payment will be made on 31 July 2018 being the redemption payment date (the "Redemption Payment Date"). The Redemption Price will be $1.109 for each Ordinary Share being redeemed (the "Redemption Price").
The Redemption Price has been determined based on the Net Asset Value as at 30 June 2018 which was announced to the market on 16 July 2018. As the Company is now operating as a realisation company, the calculation of the Net Asset Value included an estimate of liquidation costs and a provision for fees and expenses expected to be incurred in realising the assets. As at 30 June 2018 these provisions amounted to 1.90 per cent. of NAV.
The Redemption will be effected pro rata to the holdings of Ordinary Shares on the register at the close of business on the 25 July 2018, being the Redemption Record Date. No fractions of Ordinary Shares will be redeemed and the number of Ordinary Shares to be redeemed for each Shareholder will be rounded down to the nearest whole number of Ordinary Shares as appropriate.
All existing Ordinary Shares will be traded under the existing ISIN number IM00B1GJR404 (the "Old ISIN") until close of business on the Redemption Record Date. The Ordinary Shares being redeemed will be disabled in CREST after close of business on the Redemption Record Date and the Old ISIN will expire. The Ordinary Shares being redeemed will be cancelled and all proceeds of the Redemption will be paid in US Dollars on or around the Redemption Payment Date.
The new ISIN number IM00BD3D1V47 (the "New ISIN"), in respect of the remaining Shares which have not been redeemed, will be enabled and available for transactions from 08:00 on 26 July 2018. CREST will automatically transform any open transactions as at the Redemption Date into the New ISIN.
Expected timetable:
Redemption Record Date | 25 July 2018 |
Redemption Date and new ISIN enabled | 26 July 2018 |
Redemption Payment Date (on or around) | 31 July 2018 |
Terms not defined in this announcement shall have the same meaning as those defined in the Circular.
For more information, please visit www.terracapitalplc.com or contact:
Galileo Fund Services Limited (Administrator)
Frazer Pickering
+44 1624 692600
Panmure Gordon (UK) Limited (Nominated adviser and corporate broker)
Jonathan Becher
+44 20 7886 2500
Terra Capital plc.
Ian Dungate, Director
+44 1624 692600