Gasan Finance Company plc - Details of New Bond Issue

On 25 October 2013, Gasan Finance Company plc published a Prospectus dated 18 October 2013 in connection with a new €25 million bond issue. Gasan is offering preferential allocation to holders of the 6.0% Gasan Finance bonds which will be redeemed early on 31 May 2014 (“Maturing Bonds”). The salient details of the new bond issue are as follows:

Coupon:

4.9%

Amount Offered:

€25 million

Issue Price:

100% (par)

Interest Payment Date:

Annually on 30 November (first interest payment date is 30 November 2014)

Maturity:

The bonds will mature at 100% (par) on 30 November 2021 but may be redeemed early at 100% (par) at any date between 30 November 2019 and 30 November 2021 by giving not less than 30 days’ notice.

Status:

The Bonds constitute unsecured obligations of the Issuer and rank pari passu without any priority or preference with all other present and future unsecured obligations of the Issuer.

Use of Proceeds:

The proceeds from this bond issue, which are expected to amount to €24.5 million after issuance costs, will be used by the Issuer as follows:

i) a maximum of €20,026,900 will be available for the Bond Exchange Programme;

ii) to repay any amount still outstanding of the Bonds 2014/16 (if any) after completion of the Bond Exchange Programme which the Issuer will be redeeming on May 31, 2014;

iii) the balance will be used for the general funding purposes of the Issuer and the Gasan Group.

Deadline for Holders of Maturing Bonds:

Thursday 14 November 2013

Public Offer Period:

Monday 18 November 2013 to Thursday 21 November 2013 but may be closed earlier in the case of over subscription.

Minimum application (both for Holders of Maturing Bonds and for the Public Offer ):

€1,000 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 3 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:

Gasan Finance Company plc – Prospectus dated 18 October 2013

Gasan Finance Company plc – Presentation to Intermediaries dated 24 October 2013

Should you be interested in obtaining a copy of our research note including our recommendation which will be available as from Thursday 31 October, kindly send us an email on info@rizzofarrugia.com

 

This webpage has been prepared based on the Prospectus issued by Gasan Finance Company plc dated 18 October 2013, 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.