CMA Global Hedge has announced the launch of an international initial public offering as part of plans to list on the London Stock Exchange.
The company intends to place three classes of shares denominated in US dollars, euros and sterling, respectively.
Lehman Brothers International (Europe) and Merrill Lynch International are acting as Joint Global Coordinators, Joint Bookrunners and Joint Sponsors for the IPO. EFG Bank and EFG Eurobank Securities are acting as Co-Lead Distributors.
- Shares to be issued under the Placing at prices of USD10, EUR10 and GBP10 in the relevant class.
- Minimum application under the placing is for USD65,000, EUR 50,000 Euros GBP 35,000 in the relevant classes.
- The placing shares will represent 100% of the issued share capital of CMA Global Hedge on the admission to the London Stock Exchange.
- Shares representing USD20 million will be subscribed for by Sabby Mionis and Angelos Metaxa, the founders of CMA Global Hedge's manager, CM Advisors Ltd.
- Sabby Mionis and Angelos Metaxa have agreed to lock up their shares for two years after admission to the London Stock Exchange.
- CMA Global Hedge is commencing an international roadshow across the UK, continental Europe, the Middle East and the Far East incorporating institutional investors, intermediaries and high net worth individuals.
- Following a book-building exercise, the total number of shares the subject of the IPO is expected to be announced on 19 July 2006.
- Conditional dealings on the London Stock Exchange are expected to begin on 19 July 2006 and unconditional dealings on 24 July 2006.
- Over-allotment option exercisable for up to 30 days after the announcement of the total number of shares to be issued for up to 15 per cent of the shares available in the placing.
'I am delighted with the level of indicative interest expressed by potential investors in CMA Global Hedge,' says Sabby Mionis, CEO of CMA. 'The product diversifies traditional, long-term investment portfolio risk and the investment company structure brings attractive liquidity. We expect the product's benefits to be even more apparent during a time of rising market volatility.
'CMA Global Hedge is groundbreaking. Investors have the opportunity to access CMA's top-performing fund-of-hedge-funds strategy and select a share class currency of their choice. In addition, they have the assurance of the alignment of their interests with the Manager, given the USD20 million investment Angelos Metaxa and I are making.
'CMA has for eight years consistently delivered stable returns, establishing itself as a successful fund-of-hedge-funds manager. As such CMA Global hedge represents a unique opportunity for investors to participate in the success CMA has achieved for investors in its funds.'