Wednesday 30 January 2019 by FIIG Research Company updates

Company Updates - CF Asia Pacific Holdings

CF Asia Pacific Holdings

On 7 December 2018, the AFR reported that Deutsche Bank had been hired by CFAP to run a sales process for the business, or seek an equity partner. On 30 January, the AFR reported that its sources said indicative and non-binding bids were due just before the Christmas break, and bidders were told to expect a shortlist and a second round data room soon after Australia Day.

We note that the 8.35% 2020 bonds have a mandatory change of control clause, meaning upon a party taking a more that 50% shareholding, the notes must be redeemed in full at 101% of face value. This differs from a change of control put option which gives noteholder the option to seek redemption of their notes. A change of control is not triggered if the business is listed on the ASX.

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