Centurion Corporation is offering two options to the holders of its outstanding $53 million fixed rate notes maturing on May 28, 2026.
Noteholders can choose to exchange any and all of its outstanding existing notes for the same principal amount of Singapore dollar (SGD)-denominated four-year fixed rate notes due 2029.
The exchange consideration comprises a principal amount of $250,000 of the new notes, a cash sum that’s equal to 0.65% of the principal amount and accrued interest.
The new notes are expected to be issued on Jan 31 and are tipped to mature on Jan 31, 2029. The notes will come with a rate of at least 5.25% per annum payable semi-annually in arrear and will be issued under Centurion’s $750 million multicurrency debt issuance programme.
Alternatively, noteholders can sell their outstanding existing notes to Centurion for cash, and up to the amount of the proceeds of the new issue.
The outstanding notes carry a coupon rate of 6.5% per annum from Nov 28, 2022, to (but not including) May 28 this year. The rate is payable semi-annually in arrear. Centurion has said it intends to exercise its option to redeem all of the outstanding existing notes on May 28.
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DBS Bank was named the sole dealer manager for the exchange invitation while Tricor Barbinder Share Registration Services has been appointed as the exchange and tender agent for the same.
The invitation began at 9am on Jan 13 and will expire at 5pm on Jan 21.
As at 12.31pm, shares in Centurion are trading 1.5 cents higher or 1.56% up at 97.5 cents.
