Maxi-Cash bond offer upsized to S$60M

Maxi-Cash outletMaxi-Cash outlet

Maxi-Cash Financial Services has upsized its planned offering of 6.05 percent notes due 2025 to S$60 million, the pawnshop operator said in a filing to SGX Monday. 

“The company has received reverse enquiry interest from its investors (including certain directors and/or controlling shareholders of the company and/or their associates) in relation to the issue of additional notes,” Maxi-Cash said.

The increased size of the offering confirms a Shenton Wire article earlier Monday. 

The pawnshop operator had said last week its tender offer to exchange its 6.35 percent notes due 2022 for the new notes had received S$23.25 million in principal acceptances. The S$60 million total includes the S$23.25 million in exchanged notes, the filing said.

Certain directors and controlling shareholders and/or related entities and/or persons have been allocated around 42.9 percent of the S$36.75 million in aggregate principal of the additional notes and around 36.6 percent of the S$23.25 million in exchanged notes, Maxi-Cash said. 

Those persons and/or entities will be subscribing for an aggregate of around 40.4 percent of the entire offering, the filing said.

The new notes, which are series 003 under the company’s S$300 million multicurrency medium-term note program, are expected to be issued on 24 January, the filing said.

The net proceeds will be used for general corporate purposes, including refinancing or repayment of existing borrowings, financing of investments, acquisitions, expansions, working capital and/or capital expenditure, the client note said.

The joint lead managers and bookrunners are CIMB Bank’s Singapore branch and DBS Bank, the filing said.