Kubera Cross-Border Fund Limited Phased Disposal of Investment (7219N)
11 August 2017 - 4:00PM
UK Regulatory
TIDMKUBC
RNS Number : 7219N
Kubera Cross-Border Fund Limited
11 August 2017
Kubera Cross-Border Fund Limited
Phased Disposal of Investment
Kubera Cross-Border Fund Limited (the "Company") announces that
its subsidiary, Kubera Cross-Border Fund (Mauritius) Limited,
entered into a binding agreement on 8 August 2017 (the "Agreement")
to dispose of its entire equity and debt interest in Synergies
Casting Limited ("Synergies Casting") (the "Transaction").
A private buyer, Jamy LLC, has agreed to purchase the Company's
interest in Synergies Casting for a consideration net of
transaction costs of USD 14.58 million, in four tranches over 18
months. There are incentives in place for a faster completion such
that if the Transaction is completed within 12 months, there is a
provision in the Agreement for the aggregate consideration to be
reduced by up to USD 1.82 million.
The estimated sale consideration based on USD 14.58 million is
for the Company's interest only. The total sale consideration
including the 8.8 per cent. co-investment by the former investment
manager is USD 16 million. This is equivalent to 35.4 per cent. of
the net asset value presented in the audited financial statements
as at 31 December 2016, which are inclusive of the co-investment by
the former investment manager. As at 31 December 2016, the carrying
value of the investment for the Company was USD 13.96 million to
reflect the time value of money, lack of liquidity and credit
risks.
Should the buyer default on any of the tranche payments, the
Company, through its subsidiary, will continue to hold its
remaining pro rata equity and debt interests and various
shareholder rights, and the buyer will be subject to a USD 0.91
million penalty.
Pursuant to the Agreement, the first tranche has been divested
and consideration of USD 2.55 million has been received.
In accordance with the Company's investment policy, the Board
intends to distribute to shareholders all cash not required to meet
operating costs and will make further announcements on this matter
in due course.
The information contained in this announcement is considered to
be inside information prior to its release, as defined in Article 7
of the Market Abuse Regulation No. 596/2014, and is disclosed in
accordance with the Company's obligations under Article 17 of that
Regulation.
For further information on the Company, please visit
www.kuberacrossborderfund.com
For more information contact:
Grant Thornton UK LLP (Nominated Adviser)
Philip Secrett/ Jamie Barklem/ Carolyn Sansom
Tel.: +44 (0) 20 7383 5100
Email: philip.j.secrett@uk.gt.com
Numis Securities Limited (Broker)
David Benda, Managing Director
Tel.: +44 (0) 20 7260 1275
Email: d.benda@numis.com
FIM Capital Limited (Administrator, Registrar &
Secretary)
Philip Scales, Director
Tel.: +44 (0) 1624 681250
Email: pscales@fim.co.im
This information is provided by RNS
The company news service from the London Stock Exchange
END
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