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Closure of Premier Capital 3.75% Bond Offer

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Premier Capital plc has announced that, in view of the fact that the applications received from investors exceeded the maximum amount that can be issued, no further applications will be accepted.

Premier Capital News 26/10/2016

Premier Capital plc has announced the issue of €65,000,000 of 3.75% Unsecured Bonds redeemable in 2026, 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.


Premier Capital Plc is offering 65 million Unsecured Bonds having a nominal value of €100 each, which will be redeemable in 2026.


The proceeds from the Bond Issue, which net of Bond Issue expenses are expected to amount to approximately €64,000,000, will be used by the Issuer for the following purposes, in the amounts and order of priority set out below:

(i) a maximum amount of €24,641,000 will be used by the Issuer for the purpose of acquiring, for cancellation, Exchangeable Bonds from Existing Bondholders by way of Exchangeable Bond Transfer, and to redeem any Exchangeable Bonds remaining in issue as at 16 March 2017, this being the first early date of redemption of the Exchangeable Bonds;

(ii) a maximum amount of €13,300,000 shall be used to repay bank facilities issued by HSBC Malta and DNB Latvia. A further amount of €10,800,000 shall be used to settle a portion of borrowings from BRD Romania, which funds were applied in January 2016 for the purpose of part-financing the acquisition consideration of the business operating McDonald’s restaurants in Romania, comprising 67 restaurants;

(iii) a maximum amount of €15,259,000 will be used to part-finance the forthcoming capital expenditure which in FY2017 is projected at €18,000,000, and primarily comprises the opening of new stores as well as the remodeling and upgrading of the Group’s McDonald’s restaurants.


The Premier Group operates McDonald’s restaurants in Malta, Estonia, Latvia, Lithuania, Greece and Romania. Apart from offering support and management and consultancy services to companies within the Premier Group, the Issuer acts as a holding company for the various subsidiaries of the Group which operate the McDonald’s restaurants in the said countries.

The Group’s principal objective is to focus on expanding the McDonald’s restaurant network within existing and new markets, given the belief of the Group’s management that there is significant market potential to continue to develop the McDonald’s concept in Malta, the Baltic countries, Romania and Greece and possibly other territories (subject to franchisor’s approval and granting of the associated licenses).

In the case of Malta and the Baltic countries, the Group already has a high penetration rate, comparable to that prevailing in the more developed city centres in Western Europe. The Group’s management believes that growth in these regions remains sustainable, with plans for relocations and renovations of its existing restaurants. With regards to Romania and Greece, the Group’s management believes that there is further room for higher penetration rates. The relatively low penetration rate of restaurants per capita, combined with the high level of brand recognition enjoyed and the Group’s pricing strategy for the region, is believed to postulate the right platform for expansion in these regions.


Orders may be placed by contacting us on 25 688 688 or via email on [email protected]. Nominee clients can place orders directly via the CCTrader platform.

Applications for existing Premier Capital bondholders, Hili Ventures Group shareholders and Hili Ventures Group bondholders will open on the 28th of October, and will close on the 10th of November.

Applications for the General Public will open on the 28th of October 2016 and will close on the 16th November 2016.

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.