Real estate developer Helical Plc redeemed £80.0 million of 6.0% retail bonds ahead of schedule on March 2 at a total redemption price of roughly £88.7 million.
The price, representing a premium of about £8.7 million over the issue price of the bonds, was determined based on the benchmark gilt as at Feb. 28 plus a 0.5% margin.
The bonds were issued June 24, 2013, with a maturity set for June 24, 2020. However, an early redemption was launched by the company as part of its plan to lower debt and finance costs, according to a release.
Helical's future interest payments are expected to be trimmed by £11.1 million in the period to June 24, 2020, following the redemption, marking a net saving of £2.4 million.
