Transcentury Group has reached an agreement with its majority convertible bond holders to reduce its debt from USD 80 Million to USD 40 Million,two days before the maturity date.
TransCentury However did not disclose the details on the structure of the agreement.
Previously,the company has announced an equity injection of USD 20 Million from South Africa’s Kuramo Capital in exchange for indisclosed stake in the firm.
The company says that the process of raising the balance is ongoing and the bondholders are comfortable with the structure in place to settle the outstanding amount.
TransCentury Chairman Mr Zeph Mbuguah said, “This settlement validates the confidence Kuramo and other investors have in Transcentury and reflects our commitment to maximizing investor value”
However, the process is subject to regulatory approvals by Capital Markets Authority of Kenya and the shareholders.
