Zhitong Financial App News, Shimao Services (00873) announced the results of the consent solicitation for the HK $2.25% guaranteed convertible bonds issued by the company's subsidiaries due in 2022, and the conditions of consent have been reached as far as the bonds are concerned, and the necessary consent has been obtained at the meeting held on August 1, 2022 to approve and implement the special resolution and to give effect to the proposed exemption and proposed amendments. The supplementary trust deed to give effect to the proposed amendment and the written exemption to give effect to the proposed exemption are expected to be executed on 3 August 2022, when the proposed exemption and the proposed amendment will take effect.

The issuer undertakes that on the same day after the execution of the supplementary trust deed and the written exemption, it will issue a selective redemption notice in writing to the bondholder, trustee and principal agent under condition 8 (B), stating that the issuer will redeem approximately HK $1.4 billion or 45% of the total principal amount of the bonds at the redemption date (excluding that date).

The consent fee is a cash payment of HK $2500 for every HK $1 million of the principal amount of the bonds to each eligible beneficial owner, provided that the tabulation and data agent receives valid consent instructions from the eligible beneficial owner in favour of the special resolution before the extended expiry time.

The unqualified beneficial owner payment is a cash payment of HK $2500 for every HK $1 million principal amount of the bonds to each unqualified beneficial owner, provided that the tabulator and data agent receives instructions from the unqualified beneficial owner who endorses the special resolution before the extended expiry time.

Subject to the terms and conditions of consent solicitation, the issuer is expected to pay the consent fee and unqualified beneficial owner payment on or around August 4, 2022.