Terra Capital Plc plans to launch a tender offer for up to 10% of its outstanding common stock at a price of US$1.11 per share.

The tender offer was triggered by discount control measures that the company adopted in January 2016, which require Terra to implement an offer for up to 10% of each eligible shareholder's holdings when shares trade at a net-asset-value discount in excess of 12% for a certain period of time. The tender offer is subject to a vote at an extraordinary shareholders meeting to be held March 9.

The tender price represents a premium of 12.69% to the middle-market closing price of 98.5 cents per ordinary share on Feb. 13.