Sims Metal Management Update on Investment in Chiho-Tiande Group
March 02 2012 - 8:00AM
Business Wire
Further to its announcement on 17 January 2012 of an acquisition
of 16% of the existing shares of Chiho-Tiande Group Limited
(CTG) (HKG:0976) together with an option to acquire a further
2% of existing shares of CTG, Sims Metal Management Limited
(SimsMM) is pleased to announce that following the unanimous
approval of CTG’s independent shareholders on 27 February 2012,
SimsMM has completed the subscription for a
three-year HK$316 million convertible bond, which has a
4% p.a. coupon and is convertible into 53 million CTG shares
at a conversion price of HK$6.00 per share, and was issued
three-year warrants for 13 million new CTG shares at an
exercise price of HK$6.00 per warrant. In order to support the
continued growth plans of CTG, founder Chairman Mr Ankong Fang
and Delco Participation B.V. have also subscribed for a convertible
bond on equivalent terms, such that CTG received in aggregate an
amount of HK$816 million from the issue of all convertible
bonds.
Cautionary Statements Regarding Forward-Looking
Information
This release may contain forward-looking statements, including
statements about Sims Metal Management’s financial condition,
results of operations, earnings outlook and prospects.
Forward-looking statements are typically identified by words such
as “plan,” “believe,” “expect,” “anticipate,” “intend,” “outlook,”
“estimate,” “forecast,” “project” and other similar words and
expressions.
These forward-looking statements involve certain risks and
uncertainties. Our ability to predict results or the actual effects
of our plans and strategies is subject to inherent uncertainty.
Factors that may cause actual results or earnings to differ
materially from these forward-looking statements include those
discussed and identified in filings we make with the Australian
Securities Exchange and the United States Securities and Exchange
Commission (“SEC”), including the risk factors described in the
Company’s Annual Report on Form 20-F, which we filed with the SEC
on 14 October 2011.
Because these forward-looking statements are subject to
assumptions and uncertainties, actual results may differ materially
from those expressed or implied by these forward-looking
statements. You are cautioned not to place undue reliance on these
statements, which speak only as of the date of this release.
All subsequent written and oral forward-looking statements
concerning the matters addressed in this release and attributable
to us or any person acting on our behalf are expressly qualified in
their entirety by the cautionary statements contained or referred
to in this release. Except to the extent required by applicable law
or regulation, we undertake no obligation to update these
forward-looking statements to reflect events or circumstances after
the date of this release.
All references to currencies, unless otherwise stated, reflect
measures in Australian dollars.
About Sims Metal Management
Sims Metal Management is the world’s largest listed metal
recycler with approximately 270 facilities and 6,600 employees
globally. Sims’ core businesses are metal recycling and electronics
recycling. Sims Metal Management generated approximately 85 percent
of its revenue from operations in North America, the United
Kingdom, Continental Europe, New Zealand and Asia in Fiscal 2011.
The Company’s ordinary shares are listed on the Australian
Securities Exchange (ASX: SGM) and its ADRs are listed on the New
York Stock Exchange (NYSE: SMS). Please visit our website
(www.simsmm.com) for more information on the Company and recent
developments.
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