HONG KONG--(BUSINESS WIRE)--SMI Holdings Group Limited (“SMI” or the “Company” and its subsidiaries, collectively the “Group”, HKEx: 198) announced that on 14 June 2016 and 17 June 2016, the Company entered into 2 Subscriptions Agreements, in which the Company agreed to issued: (i) bonds in an aggregate principal amount of up to HK$400 million to Cheer Hope Holdings Limited, an indirect wholly-owned subsidiary of CCB International (Holdings) Limited; and (ii) notes in an aggregate principal amount of up to US$43.6 million (equivalent to approximately HK$338 million) to Abundant Ally Limited, an indirect wholly-owned subsidiary of Huarong International Financial Holdings Limited. The Company intends to apply the net proceeds to the issue of the bonds and notes for general corporate and working capital and acquisition of theatres.
According to the bond subscription agreement, the bonds, in an aggregate principal amount of up to HK$400 million, feature an interest rate of 8.5% per annum. The bonds have a tenor of 2 years, which may be extended for another year.
According to the notes subscription agreement, the notes, in the aggregate principal amount of up to US$43.6 million (equivalent to approximately HK$338 million), feature an interest rate of 8.5% per annum and have a tenor of 2 years.
Mr. Cheng Chi Chung, Chief Executive Officer of SMI said, “SMI has been actively expanding its number of theatres and related business in recent years. The proposed bonds issue and proposed notes issue will strength our financial position and provide working capital to the Group to meet any future needs for potential investments or future business developments.”
About SMI Holdings Group Limited (0198.HK)
SMI Holdings Group Limited (0198.HK) is a company listed on the Main Board of the Stock Exchange of Hong Kong. The Company is principally engaged in the business of movie theater operating and new complementary business, such as Xingmeihui and advertising & promotion business. Under its strong management team and powerful business network, the number of SMI’s movie theater has grown from 3 in 2009 to 200 by the end of 2015.
Contacts
Stimulus Investor Relations Ltd.
Ms. Hill Ho, +852 3159 2944
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or
Ms. Rachel Fong, +852 3159 2930
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