The Ghana Cocoa Board (COCOBOD) has once again revised the deadline for its debt exchange programme to Friday August 18 from the initial announcement of August 3, 2023.
The new announcement date has also been revised to Monday, August 21, 2023 while the settlement date now shifted to August 25.
On July 14, the Ghana Cocoa Board (COCOBOD) launched a debt securities exchange programme (cocoa bills) to exchange that for a longer-term debt security.
Government is seeking to exchange approximately $809 million.
In a statement issued on Monday August 7, the Ministry of Finance impressed on all person who intend to participate in the Exchange Programme to submit their application by 4pm of the stipulated date.
“We urge all persons who intend to participate in the Exchange Programme to endeavour to submit their applications by 4pm on 18 August 2023,” the statement said.
It added that an offer cannot be revoked or withdrawn at any time except in the limited circumstances described in the Exchange Memorandum.
“All other dates in the transaction timetable as outlined in the Exchange Memorandum remain unaffected and unchanged unless otherwise varied by COCOBOD (in its sole discretion and with the prior approval of the Securities and Exchange Commission)”, the statement further added.
Participation in this invitation to exchange is however voluntary.
COCOBOD is offering Eligible Holders accrued and unpaid interest (“Accrued Interest Payable”) on their Eligible Bills validly tendered and accepted by the COCOBOD, calculated from and including the last interest payment date up to, but excluding, the Settlement Date, which amount will be paid to such Eligible Holders in the form of capitalized interest (rounded down to the nearest GHS1.00) added to the principal amount of the New Bonds and distributed across the New Bonds in the same proportion as the Exchange Consideration Ratios (as defined) set forth in the table below.
Eligible Holders whose validly submitted Offers are accepted by the COCOBOD will receive on the Settlement Date the New Bonds with an aggregate principal amount (rounded down to the nearest GHS1.00) equal to the principal amount of Eligible Bills tendered plus Accrued Interest Payable, which aggregate principal amount will be allocated in accordance with the consideration ratios described in the New Bonds and Exchange
Consideration per principal amount of Eligible Bills tendered (including the Accrued Interest Payable in respect thereof).
Eligible Holders whose offers or exchange instructions are accepted will receive the five New Bonds in the above-mentioned ratios, each maturing on a one per year basis consecutively from and including 2024 through and including 2028.
As is customary with listed corporate securities, the New Bond Documentation does not restrict the ability of the New Bonds to be traded or transferred in the secondary markets.