CC Japan plans subscription share issue – CC Japan Income & Growth Trust says that it is considering a bonus issue of subscription shares to existing shareholders, on the basis of one Subscription Share for every five ordinary shares held. The company intends to publish a prospectus and circular in connection with the bonus issue in the New Year. The company will seek a listing for the Subscription Shares on the Standard segment of the London Stock Exchange’s Main Market.
The board says that it continues to be encouraged by the strengthening investment case for Japanese equities and, in particular, the scope for recovery as Japan emerges from the Covid-19 pandemic. It believes that the company’s mandate and the manager are well positioned to deliver capital and income growth for shareholders over the medium term. It thinks that the issue of bonus Subscription Shares could create an attractive opportunity for shareholders to subscribe in the future for further ordinary shares, on a pre-emptive basis, thereby increasing the size of the company.
If you follow the progress of zeros, warrants and subscription shares through the dedicated page on our website, you’ll know that both elements have been shrinking as existing issues mature. This is the first proposed issue of subscription shares in some time. I’ll talk about the positives and negatives of the proposal on our weekly show tomorrow.
CCJI : CC Japan plans subscription share issue