Tumas Investments plc - Approval for New Bond Issue

On 13 May, Tumas Investments plc announced that on 10 May the Company was granted regulatory approval to issue a new €20 million Bond. The new Bonds will carry a coupon of 6.2% and will be redeemable between 2017 and 2020. The Issuer reserves the right to increase the amount by a further €5 million in the case of over-subscription. The Bonds are unsecured but guaranteed by Spinola Development Company Limited (the Guarantor).

The proceeds of this new Bond will be primarily used to finance the early redemption of the outstanding €16.3 million 6.7% Bonds which will be redeemed on 9 July 2010. The balance of the proceeds will be advanced to the Guarantor for re-financing of existing borrowings and the general corporate funding purposes of Spinola Development Company Limited and its subsidiary companies.

The Issuer will be giving preference to holders of the maturing 6.7% Bond who will accept to exchange their current holding in favour of a holding in the new Bonds. Existing bondholders, as at close of trading on 1 June, will be guaranteed full allotment of their applications for an amount equivalent to their existing holding rounded up to the nearest €100 or €1,000 and subject to a minimum of €2,000. Trading in the maturing Bonds will cease after 1 June and will subsequently be reedemed on 9 July.

Copies of the Prospectus will be available in the coming weeks.

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