The Board of Directors of Cable Bahamas Ltd. has notified its shareholders of the exercise of its option for early redemption of its Series 11 preference shares.
The early redemption date is set to December 29, 2020.
The redemption amount, together with accrued and unpaid interest, will be paid to each registered holder.
The Board said that as a result of the early redemption of the Series 11 Preference Shares, CBL will be delisting from the Exchange pursuant to JSE Rule 411B.
Cable Bahamas used funds raised on the Jamaican market to build out its triple play service provider through subsidiaries Revoice for mobile, RevTV for cable and Revon for Internet.
The company which is a publicly listed company in its home market, raised capital on the Jamaican market to position itself for competition against rival Bahamas Telecommunications Company.
Jamaican investors bought up $1.9 billion of preference shares from the telecom.
Notice of the intent to pay out the preference shares and delist was given from second quarter 2020.
The Board of Directors of CBL gave notice on September 28, 2020 that it would be exercising its option for early redemption.
The transaction is being done in accordance with the terms and conditions of CBL’s Confidential Private Placement Memorandum dated 15 June 2016, the company stated in its announcement.
In June 2017 CBL tapped the Jamaican market for financing through two issues of preference shares which were listed on the Jamaica Stock Exchange (JSE).
One of the preference stocks set a new record for price on the Kingston exchange at $1 million per share.
The USD listing under the symbol CA11A comprised 4,090 shares valued at US$1,000 each.
The JMD listing, CA11B, comprised 1,349 units valued at $1 million each.