Breakwater Resources of Vancouver has given a Swiss bank the mandate to offer for sale in Europe 35 million Swiss francs (approximately $31 million) as the principal amount of convertible Eurobonds.
The bonds will bear interest at 5 3/8 %. They will mature in 1995 and be convertible into common shares until maturity at a premium over the share’s market price of 15% on the pricing day. If the company shares trade at an average of 125% over the conversion price for 30 consecutive trading days, the company may call the bonds. The issue is expected to close early in July, 1987.
The funds will be used to retire Breakwater’s existing loan with the Bank of British Columbia and provide working capital to enhance growth through acquisitions and expansion.
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