Purchase of preference shares in subsidiary

RNS Number : 3948I

R.E.A.Hldgs PLC

14 June 2011

 



R.E.A. Holdings plc ("REA" or "the company")

Purchase of participating preference shares in KCC Resources Limited ("KCC"), a wholly owned subsidiary of the company

REA announces that it has purchased 124,450 participating preference shares of $10 each in KCC (the "acquired shares") at a price of $11 per share. 

In the event of a restructuring of the REA group under a new parent company listed in South East Asia, the vendor has agreed, as a term of the sale of the acquired shares, to waive the benefit of an undertaking given by the company pursuant to a placing agreement dated 28 January 2010 whereby the vendor has the right to require the company, upon the occurrence of such a restructuring, to redeem the US dollar notes subscribed by the vendor in conjunction with the KCC participating preference shares.

The 150,000 participating preference shares issued by KCC in January 2010 at a price of $10 per share are not listed on any stock exchange or admitted to trading on any market, but are freely transferable by private arrangement.

REA further announces that it is willing to consider the purchase of other holdings of KCC participating preference shares on similar terms.

 

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