- JZ Capital Partners has announced a proposed placing and open offer to raise up to $150m; a rollover offer of 2016 ZDP shares for 2022 ZDP shares and a proposed investment in Spruceview Capital Partners.

The group says proceeds from the proposed placing and open offer of up to 23,406,698 new ordinary shares to raise $150m, gross, would be deployed in a number of attractive investment opportunities being and becoming available to the company for which it presently has insufficient capital. It said irrevocable commitments have been received from existing prdinary shareholders to subscribe for new ordinary shares amounting to US$135.4m (gross, equivalent).

Qualifying ordinary shareholders are being given the opportunity to apply for the open offer shares at the offer price (419.19p).

It also proposes a rollover offer for 2016 ZDP shares to be exchanged into 2022 ZDP shares, lowering the company’s cost of capital and enabling the company to rebalance its debt maturity profile and an increase in funding to Spruceview Capital Partners, the company’s recently established asset management business in the United States, a business with an experienced team and an attractive pipeline of potential clients.

The company says it has become aware that there is appetite from certain investors who invest in zero dividend preference shares for the continuance of the 2016 ZDP shares on terms which the board believes will be beneficial to the company.

As a result, the company is proposing to issue 2022 ZDP shares under the ZDP rollover offer and to seek admission of the 2022 ZDP shares to trading on the London Stock Exchange’s Specialist Fund Market.

The company will offer qualifying ZDP shareholders the option of: (a) exchanging a proportion of their 2016 ZDP Shares for 2022 ZDP Shares on 1 October 2015; or (b) repayment of the 2016 ZDP Share Final Capital Entitlement in respect of their 2016 ZDP Shares plus a further 3.7 pence per 2016 ZDP Share held to be paid on the 2016 ZDP Share Repayment Date, being 22 June 2016, in accordance with the terms and conditions of the 2016 ZDP Shares; or (c) a combination of (a) and (b).

At 8:03am:

[LON:JZCN] Jz Capital Partners Ltd share price was 0p at 357.5p

[LON:JZCP] JZ Capital Partners Ltd share price was -2p at 425.75p

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