Nominal value reduction and issuance of tradeable put options

At the Annual General Meeting on 15 May 2019, it was decided, among other things, to reduce the share capital from CHF 5 to CHF 0.05 per share to CHF 314,854.95 by means of a nominal value reduction. This repayment or distribution of the nominal value will be completed on 18 November 2019 (ex-date 14 November 2019).

In addition, the Board of Directors of Castle Alternative Invest Ltd. has decided on 6 November 2019 to issue put options tradeable on SIX Swiss Exchange. Each shareholder will be granted 1 put option free of charge for each registered share held. Every 10 put options will entitle shareholders to tender one registered share at the exercise price of CHF 22.85 before, respectively CHF 17.90 after the nominal value reduction. This represents a premium of 24.2% to the current market price of the registered share. The put options will be traded from 22 November 2019 to and including 4 December 2019. The put options must be exercised on 6 December 2019 (European style) by 11.00 a.m. CET at the latest. The net purchase price (exercise price minus 35% withholding tax calculated on the difference between the exercise price and the nominal value) will be paid on 9 December 2019.

As a result of the share buyback by issuing put options, Castle Alternative Invest Ltd. plans to repurchase up to 629,709 registered shares (10% of the outstanding share capital). It is intended to seek approval for the cancellation of all registered shares repurchased at the Annual General Meeting in 2020. Castle Alternative Invest Ltd. has mandated Zürcher Kantonalbank as Lead Manager of the transaction.

When considering whether to sell the put options on the stock exchange or to use them to tender registered shares, shareholders are advised to follow the instructions and recommendations of their custodian bank or other professional advisers.

The current share buyback programme via a second trading line will be supended for the duration of the fixed price share buyback programme.

Download PDF:
Buyback of own shares through the issuance of tradable put options for capital reduction (PDF)
Rückkauf eigener Aktien durch Ausgabe von handelbaren Put-Optionen zum Zweck der Kapitalherabsetzung (PDF)
Rachat d’actions propres, via l’émission d’options-put, à des fins de réduction du capital (PDF)

06 November 19, 7:00 PM

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