Following the announcement of 14 February, Corinthia Finance plc announced on 27 February that the Listing Authority of the Malta Financial Services Authority approved the issue of a new €7.5 million bond maturing between 2019 and 2022. The coupon was set at 6% per annum and the bonds will be guaranteed by Corinthia Palace Hotel Company Limited and issued at par for a nominal value of €1,000. Trading in the new bonds will take place on the Official List of the Malta Stock Exchange in multiples of €1,000 subject to a minimum holding of €10,000.
The proceeds will be used for the general corporate funding purposes of the Corinthia Group, including the partial redemption of the €14.6 million 6.75% Corinthia Finance plc bonds which will mature on 8 April 2012. The Company will be granting holders of the 6.75% Corinthia Finance plc 2012 bonds as at 27 February, preferential subscription to the new issue by surrendering the maturing bonds. As such, trading in the 6.75% Corinthia Finance plc 2012 bonds will be suspended as from 28 February.
Further details on this new bond issue will be included in the Prospectus which will be available electronically from our website as from next Wednesday 29 February. Application forms will be mailed to holders of the maturing bonds on 1 March.