CareMalta Group launches Lm3.8m bond offer

CareMalta Group, through its subsidiary company CareMalta Finance plc, yesterday announced a public bond offering of Lm3.8 million.

The bonds are being issued at an interest rate of 6.5 per cent per annum, payable yearly in arrears.

Each bond, which is being issued at par, has a nominal value of Lm100 and will be redeemed at par between 2008 and 2011.

The bond issue is to fund expansion by increasing the number of beds in existing and future homes operated by CareMalta, an elderly care organisation.

CareMalta Finance plc bonds are being guaranteed by CareMalta Group Ltd, a subsidiary company of Vassallo Builders Group, which has pioneered the construction of purpose-built homes in the local market for private elderly care.

The bond issue is being underwritten by Bank of Valletta, while the sponsoring stockbroker is Wilfred Mallia of Charts Investment Management Services Ltd.

Applications are available from Monday from branches of local commercial banks and offices of licensed stockbrokers and financial intermediaries.

They are being accepted from October 28 for a minimum of Lm500 and multiples of Lm100 thereafter. Subscription lists are planned to close on November 1, but will close earlier if the bond issue is oversubscribed.