On 17 November, Middlesea Insurance plc announced that subject to approval of the extraordinary resolutions during next Friday’s Extraordinary General Meeting, an offer to subscribe to new Ordinary Shares of a nominal value of €0.60 will be made to those shareholders who were on the Company’s register as at 9 November 2009.
Middlesea explained that the Rights Issue of 67,000,000 new ordinary shares will be offered as to 2.68 new shares for every existing Middlesea share (rounded up or down to the nearest share) at an offer price of €0.60 per share. The Directors stated that a Prospectus has been approved by the Listing Authority and will be published on Friday 20 November. The three largest shareholders of Middlesea Insurance plc (BOV, Mapfre Internacional and Munich Re) have already given their commitment to subscribe to their proportional entitlement. In addition, BOV and Mapfre have also agreed to underwrite the rights issue and take up any shares not subscribed for by existing shareholders. The underwriting ensures that the Rights Issue will be 100% subscribed and therefore raising additional capital amounting to a total of €40.2 million. Eligible shareholders may participate in this offer by applying between 30 November and 14 December 2009. The new 67 million ordinary shares, which will rank pari passu with the existing ordinary shares, are expected to be admitted to the Official List during the last week of December. Following this rights issue, the total issued share capital of Middlesea Insurance plc will amount to 92 million shares of a nominal value of €0.60 each.
Middlesea Insurance plc – Rights Issue Prospectus 20.11.09