India Capital Growth confirms upcoming redemption facility details and determines exit discount for 2023 – India Capital Growth, which is due to hold its redemption vote at the end of this year, has confirmed the arrangements for the vote, which will enable Shareholders to request redemption at an Exit Discount of 6%. In addition, and in order to inform Shareholders who are considering whether or not to request a redemption in December 2021, the board believes it would be helpful to indicate the maximum level of the Exit Discount for the next Redemption Point, namely in December 2023.
The board is mindful of the discount at which IGC’s shares trade and, whilst this has improved significantly since June 2020, it wishes to convey to Shareholders that it remains keen to see the discount continue to tighten and believes that this will be helped by providing visibility on the Exit Discount for the next Redemption Point after that for December 2021. Accordingly, the board has determined that the Exit Discount for the December 2023 Redemption Point will be a maximum of 3%.
For the first redemption vote, the board has confirmed that in order to implement the redemption and in accordance with the Articles, IGC will notionally divide its assets and liabilities as at the Redemption Point into two pools:
a) the Redemption Pool, which will consist of cash and assets representing the aggregate unaudited NAV attributable to the Redemption Shares as calculated by the Administrator at the Redemption Point and
b) the Continuing Pool, which will contain all of the other cash, assets and liabilities of the Company representing the aggregate unaudited NAV attributable to the remaining Ordinary Shares (being those Ordinary Shares which are not Redemption Shares).
The Redemption Price per Redemption Share shall be equal to the aggregate cash received by IGC upon the realisation of the Redemption Pool less the Exit Discount divided by the aggregate number of Redemption Shares. The board has determined that the Exit Discount at the first Redemption Point will be 6%.
IGC : India Capital Growth confirms upcoming redemption facility details and determines exit discount for 2023