Asia/Pacific News
Brightoil Issues $100 Million in Convertible Bonds
Brightoil Petroleum (Holdings) Limited (Brightoil) says it has issued $100 million in convertible bonds, to an independent third party at an annual interest rate of 5 percent, due in 2018.
The estimated $99.84 million in proceeds will be used by the company as general capital, as well as to fund the construction of oil storage and supporting facilities in Zhoushan and an upstream natural gas business in Xingjiang.
The conversion price of $2.50 is reported to represent a premium of 12.11 percent over the closing price quoted on December 9.
New shares arising from the convertible bonds are understood to account for 2.96 percent of Brightoil's enlarged share capital.
In October, Brightoil announced hopes of giving its bunker business a boost with the launch of Brightoil Online, which it described as the "first 'internet-petroleum-finance' comprehensive energy and financial e-commerce platform in the PRC."
