You are here

Haitong International Securities Group (Singapore) to subscribe to S$5m worth of convertible bonds in New Silkroutes Group

NEW Silkroutes Group has entered into a memorandum of understanding and term sheet with Haitong International Securities Group (Singapore).

Under the agreement, Haitong International Securities Group (Singapore) will subscribe to S$5 million worth of convertible bonds from the company, New Silkroutes said in a filing to the Singapore Exchange on Sunday.

The convertible bonds will be issued in registered form and will not be listed.

They will be due for maturity two years from the date of issue, and will have an annual interest of 5 per cent, to be payable semi-annually.

Market voices on:

At the option of the subscriber, the convertible bonds can be converted (in whole or in part, subject to a minimum of S$100,000) into new shares of New Silkroutes at a conversion price of S$0.60.

This price is subject to certain price reset mechanisms and a minimum conversion price of S$0.50.

New Silkroutes said that one of the principal terms of the bonds is that Haitong International Securities Group (Singapore) has the option of early redemption in the event that Goh Jin Hian ceases to be the chief executive of the company, or when permitted holders cease to collectively be the controlling shareholder.

Haitong International Securities Group (Singapore) is part of the Haitong International Securities Group, an international financial institution based in Hong Kong.

Powered by GET.comGetCom