Termination of the share buyback programme on the second trading line and issuance of tradeable put options
Today the Board of Directors of Castle Alternative Invest Ltd. has decided to terminate on 12 November 2018 the current share buyback programme on a second trading line on SIX Swiss Exchange, which started on 19 July 2018. With the end of the programme, 400,100 shares were bought back. Together with the completed buyback programme through the issuance of put options in July 2018, the maximum number of registered shares approved by shareholders at the AGM held on 15 May 2018 is reached. The buybacks mentioned before were done for cancellation purposes.
Already in October 2018 the Board of Directors has decided to launch further share buyback programmes. In this connection the Board of Directors has now finalised the parameters for the share buyback by issuance of put options tradeable on SIX Swiss Exchange. Each shareholder will be granted 1 put option free of charge for each registered share held. Every 20 put options will entitle shareholders to tender one registered share with a nominal value of CHF 5 at the exercise price of CHF 18.00. This represents a premium of 17.6% to today's closing price of the registered share. The put options will be traded from 15 November 2018 to and including 29 November 2018. The put options must be exercised on 3 December 2018 (European style) by 11.00 a.m. CET at the latest. The net purchase price (exercise price minus 35% withholding tax calculated on the difference between the exercise price and the nominal value) will be paid on 4 December 2018.
As a result of the share buyback by issuing put options, Castle Alternative Invest Ltd. plans to repurchase up to 351,245 registered shares (4.47% of the outstanding share capital). It is intended to seek approval for the cancellation of all registered shares repurchased at the Annual General Meeting in 2019. Castle Alternative Invest Ltd. has mandated Zürcher Kantonalbank as Lead Manager of the transaction.
When considering whether to sell the put options on the stock exchange or to use them to tender registered shares, shareholders are advised to follow the instructions and recommendations of their custodian bank or other professional advisers.
In addition, the Board of Directors of Castle Alternative Invest Ltd. is considering launching a new share buyback programme on a second trading line following the share buyback programme through the issuance of tradeable put options.
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Buyback of own shares through the issuance of tradable put options for capital reduction
12 November 18, 6:00 PM