Tumas Investments plc - Details of New Bond Issue

Wednesday, July 9th, 2014

On 9 July 2014, Tumas Investments plc published a Prospectus dated 7 July 2014 in connection with a new €25 million unsecured bond issue. The Issuer is giving a preferential allocation to holders of the 6.25% Tumas Investments plc Bonds maturing on 31 July 2014 (“Maturing Bonds”). The salient details of the new Bond issue are as follows:

Coupon:

5.0%

Amount Offered:

€25 million

Issue Price:

100% (par)

Interest Payment Date:

Semi-Annual on 31 January and 31 July (first interest payment date is 30 January 2015)

Maturity:

The bonds will mature at 100% (par) on 31 July 2024.

Status:

The Bonds constitute the general, direct, unconditional and unsecured obligations of the Issuer and shall be guaranteed in respect of both the principal amount and the interest due by the Guarantor, Spinola Development Company Limited. The Bonds shall at all times rank without any priority or preference among themselves and with all other present and future outstanding and unsecured obligations of the Issuer and Guarantor. The Bonds will, however, rank subordinate to the present and future secured creditors of the Issuer and the Guarantor which as at 31 May 2014 amounted to €103.6 million.

Use of Proceeds:

The proceeds from this bond issue, estimated at €24.5 million after issuance costs, will be used by the Issuer to part finance the early redemption of the outstanding €25 million 6.25% bonds which will be redeemed on 31 July 2014. Any remaining balance will be met by the Issuer principally from the bond redemption fund built up in connection with the Maturing Bonds.

Deadline for Holders of Maturing Bonds:

Tuesday 22 July 2014

Deadline for Holders of 6.2% Bonds maturing 2017-20:

Tuesday 22 July 2014

Deadline for Intermediaries’ Offer (if any):

Monday 28 July 2014

Minimum application (for all types of applicants):

€2,000 and in multiples of €100 thereafter.

Listing:

Official List of the Malta Stock Exchange

Disclaimer:

The value of investments may increase as well as decrease and past performance is not an indication of future performance. Prospective investors are urged to read the Prospectus including the Risk Factors contained in section 2 of the Registration Document and Securities Note. Prospective investors are urged to consult an independent financial adviser for advice prior to investing in the Bonds.

Downloads:

Tumas Investments plc – Prospectus dated 7 July 2014

Tumas Investments plc – Financial Analysis Summary dated 7 July 2014

 

Should you be interested in obtaining a copy of our research note including our recommendation kindly send us an email on info@rizzofarrugia.com

 

This webpage has been prepared based on the Prospectus issued by Tumas Investments plc dated 7 July 2014, and no representations or guarantees are made by Rizzo, Farrugia & Co. (Stockbrokers) Ltd with regard to the accuracy of the data. This webpage is for information purposes only. It is not intended to be and should not be construed as an offer or solicitation to acquire or dispose of any of the securities or issues mentioned herein. Rizzo, Farrugia & Co. (Stockbrokers) Ltd accepts no responsibility or liability whatsoever for any expense, loss or damages arising out of, or in any way connected with, the use of all or any part of this webpage.

Rizzo, Farrugia & Co. (Stockbrokers) Ltd acted as Sponsor to the Tumas Investments plc Bond Issue.

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