Invesque gets approval from holders to amend 6% convertibles

By Wendy Van Sickle

Columbus, Ohio, May 23 – Invesque Inc. said that holders of its 6% convertible debentures due Sept. 30, 2023 passed during a Tuesday meeting an extraordinary resolution approving changes to the convertibles, including extending the maturity date by three years, according to a news release.

As announced on April 10, holders were asked to approve increasing the interest rate to 8.75%, effective on the original maturity date; decreasing the conversion priced to $2.75 from $10.70; and redeeming, on a pro rata basis, $22 million, or 46%, of the principal amount of the amended debentures outstanding plus accrued interest on the original maturity date.

All remaining debentures, if not redeemed or converted, would be repaid at the extended maturity date of Sept. 30, 2026.

The amendments were approved by 99.9% of the principal amount of debentures voted at the meeting. The effective date was expected to be May 23.

“We have made considerable progress pruning our portfolio over the last 24 months, and believe that we are well equipped to benefit from the increased demand of seniors housing expected in the coming years,” said chairman and chief executive officer Scott White in the release.

The convertibles were issued in 2018.

The issuer is a Toronto-based health care real estate company.

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