Tumas bonds allocation policy

Tumas Investments plc has announced its allocation policy for the bond issue which was heavily oversubscribed last week.

It said that all applications received at pre-placement stage would be allocated in full.

With regard to applications received after the opening of subscription lists:

Applications for bonds with a nominal value up to and including Lm10,000 will be met in full. Applications for bonds with a nominal value in excess of Lm10,000: the first Lm10,000 will be met in full while 21 per cent of the excess amount will be met.

Tumas Investments plc issued bonds with an interest rate of 6.7 per cent which will mature between 2010-2012.

More than 1,400 applications were received. The company therefore decided to exercise the over-allotment option to issue an additional Lm3 million worth of bonds, thereby increasing the bond issue to Lm7 million.

Director George Fenech said this allocation policy was adopted to ensure the widest possible distribution of bonds.

The company would be informing bondholders of the number of bonds allocated to them and shall be issuing refund cheques where applicable. Interest on the bonds will commence today.