Senioresidenz issues mandatory convertible bond
The real estate company intends to use the proceeds of up to CHF 20 million to acquire further care centers and senior residences. The first property has already been acquired.
Senioresidenz AG is issuing an unsecured mandatory convertible bond in the amount of up to CHF 20 million. The net proceeds from the issue are earmarked for financing purposes in connection with acquisitions of existing properties in the senior residences/care centers segment to further expand the portfolio and earnings, the real estate company announced.
A first property in Salmsach (TG) was acquired at a net yield of 4.6%. The rental agreement with the operator runs for 15 years.
The offer period for the bond is expected to run from June 12 to 23, the real estate company announced. Each existing shareholder of Senioresidenz AG will be allocated one subscription right per registered share held on June 7, and 130 subscription rights will entitle the holder to subscribe to a bond with a nominal value of CHF 1,000 at a price of 100%. A free placement to other interested investors is also planned.
The bond has a coupon of 3.5% per annum and will be mandatorily converted into newly issued listed registered shares of the company on July 3, 2024 at an initial conversion price of CHF 43.00 net per registered share. (ah)
