By Laura Lutz
Des Moines, Nov. 16 - Asia Time Corp. closed an $8 million private placement of five-year variable-rate convertible bonds, according to an 8-K filing with the Securities and Exchange Commission.
The investor, ABN AMRO Bank NV, also received warrants for 600,000 shares. The warrants are exercisable at $0.0001 for three years.
The bonds bear interest at 6% for the first year and at 3% per year after that.
They will become convertible beginning one year after Asia Time's stock begins trading on the American Stock Exchange or any alternative stock exchange.
The conversion price will be the price per share in the company's planned initial public offering. If there has not been an initial public offering at the time of conversion, the conversion price will be $2.00.
If the average closing price of the stock is less than the conversion price for the 20 consecutive trading days immediately before Nov. 13, 2009 or Sept. 29, 2012, the conversion price will be reset to that average price. The conversion price will never be reset to lower than 70% of the existing conversion price, and it is subject to a floor of $0.25.
Based in Hong Kong, Asia Time distributes watch movement components.
| Issuer: | Asia Time Corp.
|
| Issue: | Variable-rate convertible bonds
|
| Amount: | $8 million
|
| Maturity; | Five years
|
| Coupon: | 6% for first year; 3% after that
|
| Price: | Par
|
| Conversion price: | Share price in company's IPO; $2.00 if IPO has not occurred
|
| Warrants: | For 600,000 shares
|
| Warrant expiration: | Three years
|
| Warrant strike price: | $0.0001
|
| Investor: | ABN AMRO Bank NV
|
| Pricing date: | Oct. 31
|
| Settlement date: | Nov. 13
|
© 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.
