Business
Issue of floating notes
Issue of floating notes.
About this update from Arbuthnot Banking Group Plc
[{"type":"text","content":"\n Arbuthnot Banking Group PLC\n07 November 2005\n\n\n 7 November 2005\n\n\n ARBUTHNOT BANKING GROUP PLC\n\n ISSUE OF €15 MILLION FLOATING RATE SUBORDINATED NOTES DUE 2035\n\n\nArbuthnot Banking Group PLC ('Arbuthnot' or 'the Company') announces that it has\ntoday issued €15 million (equivalent to £10.1 million at today's exchange rate)\nof Floating Rate Subordinated Notes due 2035 ('the Notes'). The Notes have been\npurchased by Merrill Lynch International and by a fund managed by Dekania\nCapital Management LLC. No listing is being sought for the Notes on any stock\nexchange.\n\nThe Notes bear interest at 3% over the rate for three-month deposits in Euros.\nThey are repayable in full in August 2035 and may be redeemed at the Company's\noption (subject to the consent of the Financial Services Authority) on any\ninterest payment date occurring after November 2010. The Notes rank in priority\nto distributions on all classes of share capital of the Company but are\nsubordinated in right of payment to the claims of all unsubordinated creditors\nof the Company. The terms of the subordination allow the Notes to qualify as\nLower Tier 2 capital of the Company under the rules of the Financial Services\nAuthority.\n\nThe proceeds of the issue will be used for working capital purposes and to\nredeem the Company's existing Floating Rate Subordinated Loan Notes 2009,\ntotalling £7.8 million.\n\nCommenting on the issue, Henry Angest, Chairman and Chief Executive of\nArbuthnot, said:-\n\n'The issue of 30-year subordinated debt is an important part of our long-term\ncapital planning. After repaying our existing subordinated debt, which has only\nfour years remaining to maturity, the issue will provide us with an additional\n£2 million of regulatory capital to support the continued growth of our\nbusiness.'\n\n\n\nEnquiries\n\nArbuthnot Banking Group PLC\nHenry Angest, Chairman and Chief Executive Tel: 020 7012 2400\nStephen Lockley, Group Finance Director Tel: 020 7012 2055\nAndrew Salmon, Chief Operating Officer Tel: 020 7012 2424\n\nCollege Hill:\nTony Friend Tel: 020 7457 2020\nRichard Pearson Tel: 020 7457 2020\n\n\n\n\n This information is provided by RNS\n The company news service from the London Stock Exchange \n ","length":2568,"tagName":"div"}]