International Fish Farms (ASMAK) signed agreement with Hydra Properties for issuing convertible bands
This disclosure on the ADSM site (in Arabic). It looks like the agreement dates back to December 2007, and is for 140 million shares or dirhams worth? Asmak shares have par value of 10 dhs so maybe it's 14 million shares?
It must be one of the more unusual agreements I've seen - a property developer and a fish farm ? As Hydra Properties is not a listed company, I presume it's Asmak that is issuing the convertible bonds.
I guess ADSM meant "bonds", not "bands", unless there's a new type of financial instrument around I haven't heard of .
(ASMAK) International Fish Farm issue of Convertible notes
No further details supplied. I presume this is the convertible bond issue for Hydra Properties. If anyone is interested (Asmak is a rarely traded stock - and seems to be way overpriced at present), reply here or send me a PM and I'll try to find out more. _________________ UAE IPO list | posting guidelines
I guess this increase in Asmak capital is related to the Hydra Properties sukuk. The disclosure says new share capital is 50 million. Presumably they mean number of shares is 50 million - as shares have a par value of AED 6 dhs each (Asmak par value was reduced from 10 dhs to 6 dhs per share on 04 May 2008), that would mean share capital is AED 300 million?
There seems to be an error somewhere though. Originally I thought the capital increase due to the Hydra Properties convertible sukuk/bond was AED 140m but it appears to be only AED120m now (from 20m shares) .
Asmak shares rose 2.16% to 31.00 in limited trading today (only AED 157,000 worth). There was no obvious price adjustment to compensate for the share dilution. Maybe tomorrow ...
ADX 13 August 2008:
(ASMAK) ADX issue a circular regarding increase in International Fish Farming capital through conversion of SUKUK
ADX 13 August 2008:
Date: 13 August 2008
Increasing ASMAK's Capital
MIS Brokers & Investors.
With reference to ASMAK disclosure dated 10/08/2008 regarding increasing company's capital by issuing 20,000,000 shares through convertible bonds.
Please be informed that the actual increase was 20,000,000 shares as requested by the company, therefore the new capital listed in ADX is 50,000,000 as of 13/08/2008.
Khalid Khalfan Al Suwaidi
Head of Listed Companies Department
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