The €20 million 6.25 per cent bond issued by Corinthia Finance plc on September 15 was oversubscribed by €14,156,000, the company said yesterday.

The over-subscription option was exercised to accommodate a further €5 million for a total of €25 million in bond applications. Applications totalling €14,043,300, were received from bondholders of the existing 6.7 per cent 2009 Bonds maturing on October 30; another €20,112,700 were received from 2,606 new applicants.

Corinthia Finance has announced its allotment policy to process applications for its bonds.

All applications received from from bondholders of the 6.7 per cent bonds 2009 and applications not exceeding €5,000 will be met in full.

In the case of applications for more than €5,000 but less than €50,000, the first €5,000 will be met in full, along with 11.42 per cent of the remaining balance. In the case of applications for bonds with a nominal value in excess of €50,000, the first €5,000 will be met in full, along with 11.42 per cent of the next €45,000 and five per cent of the remaining balance. Interest on the bonds will commence on September 23. Allotment letters and refunds of un-allocated monies will be dispatched by Tuesday.

Corinthia Finance plc is a subsidiary of the Corinthia Group.