Business
Re. Convertible Bond Offering
Re. Convertible Bond Offering.
About this update from Helical Plc
[{"type":"text","content":"\n \nRNS Number : 3079J Helical Bar PLC 10 June 2014 \n \n\nNOT FOR DISTRIBUTION IN OR INTO THE US, CANADA, AUSTRALIA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH DISTRIBUTION WOULD BE PROHIBITED BY APPLICABLE LAW.\n \nHelical Bar plc\n \nCONVERTIBLE BOND OFFERING - £100 MILLION RAISED\n \n10 June 2014\n \nHelical Bar plc (the \"Company\", \"Helical\" or, together with its subsidiaries, the \"Group\") announces the final terms of the offering (the \"Offering\") of £100 million of senior, unsecured Guaranteed Convertible Bonds due 2019 (the \"Bonds\"), as announced earlier today. The Bonds will be issued by Helical Bar (Jersey) Limited (the \"Issuer\") and guaranteed by the Company.\n \nThe Bonds will carry a coupon of 4.00% per annum payable semi-annually in arrear and, subject to certain conditions, will be convertible at the option of bondholders into preference shares of the Issuer which will be automatically and mandatorily exchangeable into fully paid ordinary shares of the Company (the \"Shares\"), unless a cash settlement option is exercised at the discretion of the Company.\n \nThe initial conversion price has been set at £4.9694 per share, representing a premium of 35% above the volume weighted average price of the Shares on the London Stock Exchange plc from market open to close of trading on 10 June 2014 and a premium of 59% above the Company's last reported EPRA NAV per share.\n \nSettlement is, subject to customary closing conditions, expected to take place on or about 17 June 2014.\n \nTim Murphy, Finance Director, Helical Bar plc, said:\n \n\"The issue of this convertible bond is a further milestone in diversifying the Group's sources of funding and will contribute to lowering the Group's cost of debt and extending its debt maturity. \n \n\"The net proceeds of the bonds will be used, initially, to repay the Group's existing revolving credit facilities, which will remain available to redraw at a later date. In due course, the net proceeds will be used, if required, to provide funding for its development pipeline and, upon identifying suitable opportunities, to add to the Group's investment portfolio.\"\n \nJ.P. Morgan Securities plc (which conducts its investment banking business in the UK as J.P. Morgan Cazenove) and The Royal Bank of Sco...