Caribbean Cement Company Limited (CCC) has disclosed that on Friday December 21, 2018, CCC took the decision to partially redeem preference shares held by Trinidad Cement Limited (TCL) which were issued in 2010 by CCC. In particular, CCC redeemed 3,928,603 preference shares out of the 15,000,000 total preference shares CCC had issued to TCL in 2010.
The total amount of the consideration paid by CCC to TCL for this partial redemption is of US $3,059,780 million (United States Dollars Three Million, Fifty Nine Thousand, Seven Hundred and Eighty Dollars). After this partial redemption, TCL will still hold an aggregate number of 48,071,397 preference shares of CCC.
As previously disclosed by CCC, TCL and CCC entered into Memorandum of Understanding dated March 16, 2018, and on July 6, 2018, entered into a Preference Share Redemption Agreement (the ”Redemption Agreement”), for the redemption of an aggregate number of 52 million preference shares that are held by TCL that were issued by CCC in 2010 and 2013.
Pursuant to the Redemption Agreement, the aggregate amount of consideration expected to be paid by CCC to TCL from 2018 to 2026 or, if necessary, beyond 2026, is approximately US$40.5 million (United States Dollars Forty Million Five Hundred Thousand), of which U.S.$3,059,780 will be paid on December 27, 2018.