Business
Caribbean Utilities Company, Ltd. completes Rights Offering
Caribbean Utilities Company, Ltd. is listed for trading in United States dollars on the Toronto S...
About this update from Caribbean Utilities Co. Ltd. Class A
[{"type":"text","content":"\n\n\n\nCaribbean Utilities Company, Ltd. is listed for trading in United States\n\n\ndollars on the Toronto Stock Exchange under the trading symbol "CUP.U"\n\n\nGRAND CAYMAN, Cayman Islands, Aug. 18 /CNW/ - Caribbean Utilities\nCompany, Ltd. ("CUC" or the "Company") (TSX: CUP.U) today announced that it\nhas successfully completed its previously announced rights offering and\nrelated stand-by agreement (the "Offering"). Under the Offering, CUC raised\ngross proceeds of US$28,218,700 through the issue of 2,544,518 Class A\nOrdinary Shares at a price of US$11.09 per share. The Company intends to use\nthe proceeds (after payment of the expenses of the Offering) to repay\napproximately US$18.5 million of indebtedness, and the balance will be used to\nfinance capital projects. After giving effect to the Offering, CUC has an\naggregate of 27,989,700 Class A Ordinary Shares outstanding.\n\n\nFortis Energy (Bermuda) Ltd. ("Fortis Bermuda"), an existing shareholder\nof CUC, purchased an aggregate of 2,156,148 Class A Ordinary Shares under the\nrights offering and a stand-by agreement with the Company. Fortis Bermuda now\nholds 15,721,659 Class A Ordinary Shares, representing approximately 56% of\nthe outstanding Class A Ordinary Shares of CUC.\n\n\nRichard Hew, President and Chief Executive Officer of CUC commented "We\nare pleased to have been able to complete this offering with the support of\nour existing Class A Ordinary shareholders, including the standby commitment\nmade by Fortis Bermuda". He added, "This commitment by our shareholders\nprovides the strong financial base necessary to carry out required capital\ninvestment plans. The proceeds of this offering will allow us to fulfill our\nobligations under our recently signed licences, by expanding capacity and\nsustaining reliability of electricity service in Grand Cayman.\n\n\nCUC provides electricity to Grand Cayman, Cayman Islands, under an\nElectricity Generation Licence expiring in 2029 and an exclusive Electricity\nTransmission and Distribution Licence expiring in 2028. Further information is\navailable at www.cuc-cayman.com.\n\n\nCaribbean Utilities Company, Ltd. ("CUC" or "the Company"), on occasion,\nincludes forward-looking statements in its media releases, Canadian securities\nregulator...