A 6.75% €10 million bond issue by United Finance plc, the finance company of the United Group, was over-subscribed. The issuer exercised the over-allotment option, issuing €2 million additional bonds to bring the total bond issue to €12 million. Camilleri Preziosi were legal advisers to the issuer.
Preference was given to holders of the United Finance bonds maturing in October 2008 which opted to surrender their maturing Bonds as consideration for an equivalent number of the new bonds, in accordance with the prospectus published on the 27 June 2008.
The proceeds of the new bond will be used to refinance the redemption of the maturing bonds, to finance the general corporate funding requirements of the United Group and other companies forming part of the United Group and to fund new investments by group companies. This will help ensure that the Group remains a front runner in the automotive industry and reaches higher levels through new business initiatives in the retail and property development investments.
A copy of the prospectus may be viewed on www.unitedfinance.com.mt