AX Investments plc – New Bonds Fully Subscribed

March 5, 2014
|In Company Announcements
|By Jesmond Mizzi Financial Advisors

AX Investments plc announced the basis of acceptance for the issue of €40 million 6% AX Investments plc bonds maturing in 2024, which opened for public subscription on February 24, 2014. The public offer was over-subscribed immediately after subscription lists were opened.

In terms of the prospectus, the company reserved the following amounts:

·         Up to €11.6 million for holders of the 6.7% AX Investments plc 2014-2016;

·         Up to €1 million for allocation to AX group employees;

·         €6 million for the purpose of entering into a Conditional Private Placement Agreement;

·     €10 million for the purpose of entering into Conditional Subscription Agreements with Authorised Financial Intermediaries.

The company received from holders of the maturing bonds an aggregate total of €10.03 million. Such amounts were allocated in full.

The company received an aggregate amount of €939,500 from the AX Group employees, which were also allocated in full.

€6 million in bonds were allocated in terms of the Conditional Private Placing Agreement.

Amounts subscribed for under Conditional Subscription Agreements by Authorised Financial Intermediaries reached €58.8 million. As a result, all amounts received were scaled down proportionately to the level of €10 million (representing 17% of the €58.8 million).

The remaining balance available for subscription during the general public offer amounted to €13.03 million. By the close of subscription lists on February 24, 2014, the company received 5,397 applications for bonds totalling €57.8 million. As a result, the company will be satisfying all applications for amounts up to €1,000 in full and in the case of applications for amounts of over €1,000, the company will likewise be satisfying the first €1,000 and allocating a further 14.473% of the remaining balance of all such applications. All amounts being allocated have been rounded to the nearest €100.

Interest on the bonds will commence on March 7, 2014 and refunds of unallocated monies will be made by March 10, 2014. The bonds are expected to be admitted to listing on the official list of the Malta Stock Exchange on March 17, 2014 and trading is expected to commence on March 18, 2014.

To view the official company announcement, click here.