The Toronto Stock Exchange reports that Diversified Royalty Corp.'s 6 per cent convertible unsecured subordinated debentures will be listed at 5:01 p.m. on March 29, 2022, for trading at the open on March 30, 2022. According to the TSX, the debentures will trade under the symbol DIV.DB.A, in Canadian dollars and with Cusip No. 255331 AB 6.
As stated in its prospectus supplement dated March 23, 2022, the company will issue up to $52.5-million principal mount of debentures in a public offering that is expected to close before the open on March 30, 2022. The debentures will mature on June 30, 2027, and bear interest at 6 per cent per year, payable semi-annually in arrears on June 30 and Dec. 31 each year. Assuming the offering closes on March 30, 2022, the initial interest payment of $15 per $1,000 principal amount will be made on June 30, 2022.
The TSX reports that the holders of the debentures will have the option to convert their debentures into fully paid and non-assessable shares of the company, at any time before the close on the earliest of the business day immediately preceding: (i) the maturity date; and (ii) if called for redemption, the date specified by the company for the redemption of the debentures, at $4.05 per share. This conversion price represents a conversion rate of approximately 246.9136 shares per $1,000 principal amount of debentures.
© 2023 Canjex Publishing Ltd. All rights reserved.