Next offers olive branch to bondholders
Tuesday 12 January 1993
That compares unfavourably with the 29 per cent premium given to bondholders who redeemed at the due date in October. However, it is more attractive than the existing conversion terms of 21/2 shares for every pounds 10 of bonds.
Next received complaints from investors who last year missed the only opportunity in 15 years to redeem their bonds. With only pounds 1.49m of bonds left unredeemed, the market became highly illiquid.
David Keens, finance director, said even if all holders accepted, the dilution of existing shareholders would be negligible, adding just 1 million shares to the 370 million in issue.
He said fewer than 20 bondholders had complained about Next's decision not to alert them. Next's explanation then was that it would have been difficult to contact bondholders because they were bearer bonds.
The retail group, which is understood to have enjoyed strong Christmas sales, took advice from its lawyers, the Stock Exchange and the bond trustee Law Debenture Trust before making the offer. Bondholders have until Friday to accept.
The original pounds 100m of bonds were 5 3/8 per cent convertible bonds issued in 1987. Next said it would not make any other tender offer for at least another 12 months. All bondholders will be entitled to the interest payable on 15 January, whether they accept or not.
- 3 Daily Show's Jon Stewart destroys Fox News for its Ferguson coverage
- 5 Terror threat level raised to severe as PM warns Isis risk could last for decades
Keira Knightley topless: Usually conservative actress does own take on #Freethenipple campaign for Interview Magazine
YouTube video posted by Isis militants shows 'execution of 250 Syrian soldiers'
Botched ice bucket challenge leaves man critically injured after plane drops hundreds of gallons of water
Terror threat level raised to severe as PM warns Isis risk could last for decades
Isis 'A Message in Blood' video shows beheading of Kurdish man in Iraq
Robin Williams Emmys tribute led by Billy Crystal criticised for including 'racist' joke about Muslim woman
The Rotherham child abuse scandal is a tale of apologists, misogyny and double standards
Scottish independence TV debate: Pumped-up Alex Salmond bounces back in bruising second round against Alistair Darling
Do you realise just how foolish the UK looks?
Ukip Douglas Carswell defection: Tory MP jumps ship to join Nigel Farage
When elitism grips the top of British society to this extent, there is only one answer: abolish private schools
- < Previous
- Next >
iJobs Money & Business
£50000 - £80000 per annum + benefits+bonus+package: Harrington Starr: Data Sci...
£450 - £500 per day: Orgtel: SAS Business Analyst, London, Banking, Credit Ris...
£32000 - £38000 Per Annum Bonus, Life Insurance + Other Benefits: Clearwater P...
£200 - £250 per day + competitive: Orgtel: KYC Analyst, Key Banking Client, Bi...