Business
Issue of Loan Notes
Issue of Loan Notes.
About this update from Black Sea Property Plc
[{"type":"text","content":"\n\n15 September 2023\nBLACK SEA PROPERTY PLC\n(\"Black Sea Property\" or the \"Company\")\n \nIssue of Loan Notes to raise €4,437,000\n \nFurther to the announcement made on 30 August 2023, Black Sea Property PLC, the Bulgarian real estate investment company, is pleased to announce that it has raised an additional €4,437,000 through the issue of unsecured loan notes (the \"Loan Notes\") to certain existing shareholders. \n \nThe proceeds of the issue of the Loan Notes have been used to pay a further tranche of the consideration for the Acquisition, as defined in the 21 July 2023 announcement. The balance of the consideration, amounting to €15,525,000, is due by the end of October 2023.\n \nTerms of the Loan Notes\n \nThe Loan Notes are repayable on 31 December 2023 and interest will roll up and be repaid on the maturity of the Loan Notes (the \"Repayment Date\"). The interest payable on the Loan Notes is 3 months' Euro Interbank Offered Rate plus 2.5% per annum.\n \nIn the event that, prior to the Repayment Date, Black Sea Property undertakes an equity fundraise, then the holders of the Loan Notes have the right to either (i) convert their Loan Notes, together with all accrued interest, into ordinary shares in the Company (at a price per share to be determined by reference to the VWAP for the ordinary shares for the five immediately preceding days); or (ii) ask for repayment of the Loan Notes, provided the Company has sufficient funds to repay the Loan Notes at that time.\n \nRelated party transactions\n \nMamferay Holdings (\"Mamferay\"), which is interested in 24.81% of the Company's issued share capital, has subscribed for an additional €1,209,000 of the Loan Notes. The subscription by Mamferay is therefore a related party transaction for the purposes of the AQSE Growth Market Access Rulebook.\n \nNeo London Capital PLC (\"Neo\"), which is interested in 28.41% of the Company's issued share capital, has subscribed for €3,228,000 of the Loan Notes. The subscription by Neo is therefore a related party transaction for the purposes of the AQSE Growth Market Access Rulebook.\n \nThe directors of the Company (excluding, in relation to the Mamferay subscription, Ventsislava Altanova and Miroslav Georgiev, who are also Directors of Mamferay), having exercised reasonable care, sk...