Eden Finance Plc 4% Unsecured Bonds 2027

Eden Finance Plc 4% Unsecured Bonds 2027

Eden Finance plc has announced the issue of €40,000,000 of 4.00% Unsecured Bonds redeemable in 2027, with a nominal value of €100 issued at par.

If you wish to apply for these bonds see information at the bottom of this article or apply via our CCTrader platform.

BUSINESS OVERVIEW:

Eden Finance Plc is offering 40 million Unsecured Bonds having a nominal value of €100 each, which will be redeemable in 2027. The Bonds are guaranteed by the Guarantor, Eden Leisure Group Limited. The Bonds will be issued at par and bear interest at the rate of 4% per annum payable annually on 28 April each year until Redemption Date.

USE OF PROCEEDS:

The proceeds from the Bond Issue, which net of Bond Issue expenses are expected to amount to approximately €39,450,000, will be used by the Issuer for the following purposes, in the amounts and order of priority set out below:

1) an amount of up to €13,984,000 of the net proceeds, less the value of Bonds acquired through the Bond Exchange Programme, shall be used for the purpose of redeeming any Exchangeable Bonds remaining in issue as at 16 June 2017, being the first early date of redemption of the Exchangeable Bonds;

2) the amount of circa €14,900,000 shall be used to repay bank facilities granted by HSBC Bank Malta as to circa €13,000,000 and Lombard Bank Malta as to circa €1,900,000, which funds were applied for the purpose of part-financing the capital expenditure described in section 5.4.2 of the Registration Document, including the acquisition of the property intended for the development of the Holiday Inn Express, the construction of 30 upmarket suites and the total conversion of the existing 24 hotel suites, and the development of the InterContinental Arena & Conference Centre;

3) the amount of circa €7,400,000 shall be used to part finance various redevelopment and refurbishment works relating to the Group’s properties including the completion of the Holiday Inn Express; and

4) the remaining balance of €3,166,000 shall be used for general corporate funding purposes of the Group.

COMPANY OVERVIEW:

The Eden Cinemas is one of the leading cinema venues in Malta in terms of the number of screens and admissions. The Group aims to maintain its position as a leading operator of multiplex cinemas in Malta through the on-going investment in the latest technology and by being innovative in seeking alternative revenue streams. The Eden Cinemas expect box office revenue and bar income to progressively increase in the near term.

The Eden SuperBowl is a steady business venture, which consistently shows satisfactory results year-on year. The Group plans to focus on the underperforming food and beverage operations by looking for a partner to operate a quality establishment, which can adequately service bowling patrons and also attract new clients.

Bay Radio operates in a market, which comprises 15 national stations and a number of community stations, and has been consistently voted most popular station by reach in October 2014, October 2015 and October 2016. Management’s strategy is to continue to broadcast relevant and up-todate content using the latest available technology, to be innovative and to recruit and train quality presenters in order to increase its edge over competition, and in turn grow its listener base and advertising revenue.

The number of health and fitness facilities that compete with Cynergi has gradually been increasing over the last years. However, management believes that the recent investment in equipment and design is expected to allow Cynergi to outpace competition.

The Eden Group expects that the Eden Car Park will continue to grow its earnings in view of its strategic location within a busy commercial and tourism hub. Furthermore, the Eden Car Park will continue to play an important role in supporting the various entities of the Eden Group by providing parking facilities to their respective patrons.

HOW TO REGISTER TO BUY BONDS?

Orders may be placed by contacting us on 25 688 688 or via email on [email protected].

Closing Date for existing Eden Finance bondholders and Eden Group Stake holders will close on the 19th of April at 12pm

Orders will be accepted from the 29th of March 2017 upon receipt of application forms. The application form must be submitted by not later than the 21st April 2017 @ 1200hrs

Applications must be for a minimum value of €2,000 and multiples of €100.

A copy of the prospectus is available HERE

Calamatta Cuschieri Investment Services Ltd is acting as a licensed stockbroker and financial intermediary for this bond issue.