GFH Financial Group Plans $500M Sukuk Programme
GFH Financial Group announces a significant agenda for their upcoming Ordinary General Meeting, including the establishment of a $500 million Sukuk Programme.
Summary
GFH Financial Group's upcoming Ordinary General Meeting will discuss the establishment of a $500 million Sukuk Programme, modifications to existing Sukuk terms, and delegation of powers to the Board and CEO.
The GFH Financial Group has recently announced the agenda for its Ordinary General Meeting scheduled for October 2024. This meeting will address several key points, the most notable being the establishment of a Sukuk Programme valued at up to $500 million.
The agenda includes the approval of the minutes from the previous meeting held on March 24, 2024. However, the spotlight is on the Board of Directors' recommendation to establish a Sukuk Programme through a Special Purpose Vehicle (SPV). This initiative aims to issue Sukuk amounting to $500 million in one or more tranches, subject to regulatory approvals.
Additionally, the meeting will seek approval for modifications and an offer concerning the 2020 Sukuk issuance. This involves inviting holders of the $500 million Certificates due 2025 to consent to modifications in the terms and conditions of these certificates. Moreover, there is an offer to early redeem for cash any outstanding certificates from their holders.
The agenda also includes delegating powers to the Board of Directors and the Chief Executive Officer to carry out the necessary procedures for the Sukuk Programme and the Offer. This involves obtaining regulatory approvals, finalizing agreements, and determining the pricing of the Sukuk.
GFH Financial Group's strategic move to establish a Sukuk Programme is a significant step towards diversifying its financial instruments and enhancing its capital structure. The approval of modifications to the existing Sukuk terms and the early redemption offer indicates the company's proactive approach in managing its financial obligations.
For investors, this development presents a potential opportunity. The establishment of a Sukuk Programme could lead to increased liquidity and investment options. Given the company's strategic initiatives and proactive financial management, it would be prudent for investors to consider holding their positions in GFH Financial Group. The company's future looks promising, and this Sukuk Programme could be a catalyst for further growth.
Source
Summary
GFH Financial Group has scheduled its Ordinary General Meeting for October 2024. The agenda includes: 1. Approving the minutes of the previous meeting held on 24 March 2024. 2. Approving the Board of Directors' recommendation to establish a Sukuk Programme worth up to $500 million through a Special Purpose Vehicle (SPV), subject to necessary regulatory approvals. 3. Approving modifications and an offer related to the 2020 Sukuk issuance, including early redemption for cash of outstanding certificates. 4. Delegating powers to the Board of Directors to manage the Sukuk Programme establishment and the Offer, including obtaining necessary regulatory approvals and conducting essential procedures. 5. Delegating powers to the Chief Executive Officer to execute the Sukuk Programme and the Offer, including obtaining necessary approvals and conducting essential procedures. 6. Discussing any other matters as per Article 207 of the Commercial Companies Law. The meeting will be held via video conferencing on 2 October 2024, with alternative dates set for 9 October 2024 and 16 October 2024 if the legal quorum is not met.
