Hard on the heels of its successful additional public offer (APO) of common shares, Proven Investments Limited (PIL) has advised of its intention to fully redeem its Series B Bonds in the amount of JM$2.9 billion.
The bonds, brokered by NCB in January 2019, carried interest rate of six per cent annually and a maturity date in 2025.
In January PIL closed it’s successful dual-currency APO which raised around US$30 million for the company.
A month earlier, the company had relaunched the offer of up to 134,124,037 new ordinary shares in the company to the public and reserved clients.
At the time the company intended for the offer, which opened on January 8 and closed January 29, 2021, to raise US$20 million with an option to upsize to US$30 million. With proceeds from the raise, PIL would bolster its capital base in order “to readily take advantage of opportunities during this period”.
The subscription price ranged between US$0.22 per new ordinary share (or the equivalent of JM$32.10) to US$0.2300 (J$33.50) depending on the category of applicants (reserved or public).
However, after the company upsized the offer it raised an estimated JM$4.5 billion.
Consequently, PIL is now pursing a bond repayment in accordance with Section 7.1 of the Trust Deed dated January 7, 2019. The intended loan prepayment date is March 11, 2021.
The JM$2.9 billion payout is equal to 100 per cent of the entire outstanding principal amount of the bonds plus accrued and unpaid interest up to March 10, 2021 — the business day immediately preceding the redemption date, March 11, 2021.