AX Investments announces bond allocation policy

AX Investments plc has announced the policy to be adopted in regards to the Lm5 million 6.7 per cent bonds 2014 - 2016 issue after demand for the bonds exceeded Lm7.5 million.

As a result the bond issue was closed on the first day of opening for subscription lists.

Applications submitted by Suncrest bondholders will be met in full while applications received from the public after the opening of subscription lists will be allotted according to the following allocation policy:

Applications for bonds with a nominal value up to and including Lm500 will be met in full.

Applications for bonds with a nominal value in excess of Lm500 will be met as follows:

The first Lm500 from the amount applied for will be met in full, while 23 per cent of the remaining portion will be allotted;

All allotments will be rounded down to the nearest Lm100.

Allotment letters and refunds of unallocated monies, where applicable, will be mailed in due course. Interest on the bonds will commence as from today.

The remaining balance of 8.25 per cent Suncrest Bonds 2005 - 2007 will be redeemed upon maturity on March 23, 2007.

AX Investments plc said there was good demand for the offer Lm930,000 four per cent bonds 2013 which was made to Suncrest shareholders for the acquisition of their respective Suncrest shares in exchange for a cash consideration or through the issuance of bonds.