NASSAU, BAHAMAS — RF Bank & Trust (Bahamas) Ltd has announced that it has successfully completed a BS$219 million private placement – the largest in the country to date.
The offering, which closed on June 28, 2022, was fully underwritten by Royal Fidelity. The investment bank acted as the Financial Advisor, Placement, and Escrow Agent in the refinancing of Series 6 and 9 Preference shares of Cable Bahamas Ltd. (BISX: CBL).
The private offering included the redemption of Series 6 Preference Shares and investment of the proceeds into Series 15 Preference Shares and the redemption of Series 9 Preference Shares and investment of the proceeds into Series 16 Preference Shares. Of the total amount of $169 million previously invested in Series 6 and 9 Preference Shares, only $7.3 million was not reinvested into Series 15 and 16 Preference Shares.
In addition to the reinvestment of $169m in redemption proceeds, investors invested a further $50M in the Preference Shares, bringing the total investment in Preference Shares to $219M.
“This is the largest private offering the country has seen to date and RF was proud to have successfully completed the transaction,” said Jim Wilson, RF Vice President of Investment Banking.
“RF was extremely pleased with the high level of support the offering received from the Bahamian investors, particularly coming on the heels of the pandemic and a stagnant investment market.”
Victor Marcial, Cable Bahamas Group CFO, said: “This refinancing will allow CBL to invest in strategic plans including the rollout of our FTTH Network.
“RF’s guidance and expertise were pivotal in timing the market and helping us achieve the tremendous success of this offering. Now the reduction in debt costs and removal of refinancing risk in the near term will also allow the Board to better consider the resumption of ordinary dividends which we know shareholders are looking forward to.”
