By Marisa Wong
Madison, Wis., April 21 - Hyflux Ltd. said it exercised the S$200 million upsize option in full, increasing the total size of its previously announced offer of 6% cumulative non-convertible non-voting perpetual class A preference shares to S$400 million. The deal closed on Wednesday, according to a company announcement.
Hyflux offered up to S$200 million of the 6% cumulative perpetual class A preference shares through a public offer in Singapore that began on April 14 and up to S$200 million of the preference shares through a reserve offer to directors, management and company employees and a placement to institutional and other investors.
Specifically, the company offered up to S$20 million of the preference shares in the reserve offer and up to S$200 million in the placement. The maximum total amount to be offered under the reserve offer and the placement was not to exceed S$200 million.
The total liquidation preference of all the offers was capped at S$200 million.
The company said it increased the total offer size due to overwhelming demand for the preference shares. The public offer was about five times oversubscribed, and, as previously reported, the company received applications for about seven times the maximum amount of the reserve offer and placement.
The public offer, reserve offer and placement accounted for S$200 million, S$10 million and S$190 million of the total offer size, respectively.
The shares were priced at par of S$100.
DBS Bank Ltd. was the lead manager and bookrunner.
The preference shares will be callable beginning on April 25, 2018. If the preference shares are not called on the first call date, the dividend rate will step up to 8%.
Proceeds will be used to fund the company's water and infrastructure projects and for general working capital.
The preference shares will be issued on April 25 and are expected to be listed on the Singapore Stock Exchange on April 26.
Hyflux is a Singapore-based water treatment firm.
| Issuer: | Hyflux Ltd.
|
| Issue: | Class A preference shares
|
| Amount: | S$400 million, upsized from S$200 million (S$200 million from public offer, S$10 million from reserve offer, S$190 million from placement)
|
| Maturity: | Perpetual
|
| Dividend: | 6%, stepping up to 8% if the shares are not called on the first call date
|
| Price: | Par of S$100
|
| Yield: | 6%
|
| Call: | Beginning April 25, 2018
|
| Bookrunner: | DBS Bank Ltd.
|
| Trade date: | April 14
|
| Settlement date: | April 25
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
