Issue of Debt
18 November 2003 - 10:21AM
UK Regulatory
RNS Number:1787S
KeyWorld Investments PLC
18 November 2003
KeyWorld Investments PLC
Convertible Loan to Fund Expansion
KeyWorld Investments PLC ("KeyWorld" or the "Company"), the holiday property
investment company, has secured a #1 million, five-year convertible loan
facility from Ellingham Investments PLC ("Ellingham").
Ellingham, which is a major investor in KeyWorld, is to provide a draw down
unsecured facility at 8.5 per cent interest per annum. Repayment may be at
anytime during the five year loan period in cash or either party may elect to
have the loan repaid in KeyWorld shares, at the conversion price of one pence
per share.
The loan has been made available as additional working capital following the
launch of the KeyWorld Bond, a 30-year holiday investment product, and the award
of a contract with Berkeley Berry Birch plc, the financial advisory group. The
Berkeley Group is marketing the KeyWorld Bond, initially to 12,000 clients of
its subsidiary Weston Financial Group, through its network of independent
financial advisers.
KeyWorld Investments PLC has created an investment product, the KeyWorld Bond,
which provides investors with 30 years of free holiday accommodation for a
single investment. KeyWorld Bondholders secure holidays without any additional
annual fees or management charges, have access to 3,700 resorts across 100
countries and the opportunity to redeem the Bond at the end of the 30-year term.
The directors consider, having consulted with Grant Thornton, its nominated
adviser, that the terms of the transaction are fair and reasonable insofar as
its shareholders are concerned.
For further information, contact:
Todd Knobel, CEO of KeyWorld Investments PLC
Tel: +44 (0)20 7724 2423 or +44 (0) 7950 230937
Media enquiries:
Richard Robinson, Marshall Robinson Roe
Tel: +44 (0)20 7960 6007 or +44 (0)7879 402789
18 November 2003
This information is provided by RNS
The company news service from the London Stock Exchange
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