Property investor St Laurence Property & Finance (SLPF) has opened its pro-rata renounceable rights issue of convertible notes to raise $22.7 million.
The new notes will be issued at $1.05 and will have a fixed coupon of 9.0 per cent per annum on the principal amount of $1.
The notes will convert into SLPF fully paid ordinary shares on December 1, 2008.
Under the offer, holders of SLPF existing property notes will be entitled to subscribe for one new property note for every five existing notes held.
Executive chairman Kevin Podmore said the rights issue was to allow St Laurence to invest in more property, for development opportunities, and to retire debt.
St Laurence had agreed to take up its entitlement of about 5.6 million notes for around $5.88m.
The offer is to close on April 17, with trading of the notes expected to begin on securities trading facility Unlisted on April 26.
- NZPA
