March 27 (Renewables Now) - Wind power generator China Ruifeng Renewable Energy Hldg Ltd (HKG:0527) has raised HKD 313.8 million (USD 40m/EUR 35.5m) from the sale of convertible bonds, thus securing capital to repay debt and redeem existing securities.
Filled Converge subscribed to some HKD 294.2 million worth of the 8% bonds, while the remaining HKD 19.6 million were issued to Well Foundation, China Ruifeng said in a bourse filing. Following conversion into China Ruifeng shares, provided that the conversion rights are exercised in full, Filled Converge will get a 24.8% stake and Well Foundation will own 1.65% in the wind power generator.
The net proceeds of the deal, totalling HKD 312.4 million, will go mostly to redeem the company’s existing convertible bonds, which will take around 56% of the total sum, while the rest will be allocated for repaying bank loans and covering general working capital needs.
The securities mature in 2021, with the term being extendable to 2022.
(HKD 1.0 = USD 0.127/EUR 0.113)