HARBIN, China, July 5, 2016 /PRNewswire/ -- China XD Plastics
Company Limited (NASDAQ: CXDC or the "Company"), one of
China's specialty chemical players
engaged in the development, manufacture and sale of modified
plastics primarily for automotive applications, today announced
that its wholly owned subsidiary, Favor Sea Limited (the "Issuer"),
intends to redeem its US$150,000,000
11.75% guaranteed senior notes due 2019 (the "Notes") issued under
an indenture dated as of February 4,
2014 (the "Indenture").
In accordance with the redemption notification, dated
June 30, 2016, sent by the Issuer,
and the terms of the Notes and the Indenture, all of the Notes
outstanding on August 29, 2016 (the
"Redemption Date") will be redeemed by the Issuer on the Redemption
Date at a redemption price equal to
100% of the principal amount of the Notes plus the Applicable
Premium (as defined in the Indenture) as of the Redemption Date
(the "Redemption Price") plus accrued and unpaid interest up to
(but not including) the Redemption Date equal to $1,223,958.33 (the "Accrued Interest"). Holders
of the Notes are advised that the amount of Applicable Premium will
be provided to such holders approximately one to two business days
prior to the Redemption Date, when such amount is finally
determined in accordance with the terms of the Indenture. It is
anticipated that the redemption will be funded by the Company's
cash and bank deposits, existing credit facilities and other
funding sources.
The Indenture is attached as Exhibit 4.14 to the Company's
Annual Report on Form 10-K for the fiscal year ended December 31, 2013.
This news release is for informational purpose only and is not
an offer to buy any securities of the Company.
About China XD Plastics Company Limited
China XD Plastics Company Limited, through its wholly-owned
subsidiaries, develops, manufactures and sells polymer composites
materials, primarily for automotive applications. The Company's
products are used in the exterior and interior trim and in the
functional components of 28 automobile brands manufactured in
China, including without
limitation, Audi, Mercedes Benz,
BMW, Buick, Chevrolet, VW Passat, Golf and Jetta, Mazda, and
Toyota. The Company's wholly-owned research center is dedicated to
the research and development of polymer composites materials and
benefits from its cooperation with well-known scientists from
prestigious universities in China.
As of March 31, 2016, 369 of the
Company's products have been certified for use by one or more of
the automobile manufacturers in China. For more information, please visit the
Company's English website at http://www.chinaxd.net, and the
Chinese website at http://www.xdholding.com.
Safe Harbor Statement
This announcement contains forward-looking statements within the
meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. All statements other than statements
of historical fact in this announcement are forward-looking
statements, including but not limited to, the intention to redeem
the Notes [and the means to finance the redemption]. These
forward-looking statements involve known and unknown risks and
uncertainties and are based on current expectations, assumptions,
estimates and projections about the Company and the industry. The
Company undertakes no obligation to update forward-looking
statements to reflect subsequent occurring events or circumstances,
or to changes in its expectations, except as may be required by
law. Although the Company believes that the expectations expressed
in these forward looking statements are reasonable, it cannot
assure you that its expectations will turn out to be correct, and
investors are cautioned that actual results may differ materially
from the anticipated results.
Contacts:
China XD Plastics
Mr. Taylor Zhang
CFO (New York)
US Phone: +1 (212) 747-1118
Email: cxdc-ir@chinaxd.net
Grayling
Vivian Chen
Managing Director
Email: vivian.chen@grayling.com
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SOURCE China XD Plastics Company Limited