Download - Presentation - Second Debentures Issue
PDG Realty announces issuance of
Convertible Debentures
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Agenda
Rationale
Deal structure
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Rationale
Reinforce our solid cash position;
Enable additional funding in an expressive amount and in attractive rates and conditions;
PDG Realty now has a strong and comfortable cash position to pursue selected investment
opportunities in portfolio companies and co developments;
Funding from BNDESPAR, a wholly owned subsidiary of the Brazilian Development Bank - BNDES,
the largest development agency in Latin America.
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Convertible Debentures - Deal Structure
Terms and conditions (subject to approval in Shareholders Meeting):
• Debentures in an amount up to R$276,000,000.00 (two hundred and seventy-six million
Brazilian real);
• The debentures will be convertible into shares issued by the Company by dividing the
nominal unit value per debenture by the price of R$17.00;
• PDG Realty may redeem the debentures in advance by paying a 10% premium over the
amount due;
• The debentures will mature in 42 months as of their issue date;
• Remuneration will be equivalent to the variation in the CDI (interbank overnight deposit)
rate plus 2.00% per annum, with payments made semiannually;
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Convertible Debentures - Deal Structure
• After two years after the issue date of the Debentures, the Company will have the right to
request the conversion of up to 50% of the Debentures in circulation if the average price per
share of the Company’s common stock in the previous 60 trading sessions is equal to or
greater than 140% of the Conversion Price;
• The debentures will be secured by a pledge constituted on 100% of the common stock
issued by CHL Desenvolvimento Imobiliário S.A. and by a general privilege on the Company’s
assets;
• Shareholders may exercise their pro-rata preemptive rights in the Debentures
Subscription.
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Convertible Debentures - Subscription Commitment
BNDESPAR will commit to subscribing to a number of debentures equivalent to
R$155,000,000.00, and to do so, FIP PDG will give up R$100.000.000,00 in subscription rights
it owns;
FIP PDG I will commit to subscribing to a number of debentures equivalent to
R$21,620,000.00, and will use its best efforts to subscribe to debentures equivalent to up to
R$121,000,000.00
As already mentioned, the Debentures Issue is still subject to approval by a meeting of the
Company’s shareholders, which will be duly and opportunely called.
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Contacts:
For any additional information, please contact :
• Michel Wurman - CFO and Investor Relations Officer
• João Mallet, CFA - Investor Relations Manager
• Gustavo Janer – Financial and Investor Relations Analyst
• IR Team: [email protected]
• Phone: + 5521 3504-3800
• www.pdgrealty.com.br