Channel Islands ' The International Stock Exchange ' Delisting Bonds ' Partial And Full Redemptions

• Published date: 24 November 2022
• Subject Matter: Finance and Banking, Financial Services, Commodities/Derivatives/Stock Exchanges
• Law Firm: Walkers
• Author: Mr Nigel Weston and Grace Pickering

Introduction

Walkers Listing Sponsor Services

The Walkers listing team has extensive experience providing listing sponsor services in connection with listings on The International Stock Exchange ("TISE"). Walkers Capital Markets Ltd ("WCML") is a Category 1 and 2 sponsor of TISE which means that we are able to act as a sponsor for all listing purposes.

Delisting Notes that are listed on TISE - Partial and Full Redemptions

We are frequently asked about the requirements of TISE Listing Rules in relation to delisting bonds that are listed on TISE including partial redemptions and full redemptions. Below is a summary of certain relevant points.

This memorandum applies to "early" redemptions, meaning that the redemption occurs before the bonds reach their anticipated automatic maturity date.

General Notification

Under the general notification procedure pursuant to Listing Rule 3.2, an issuer must notify TISE via its listing sponsor (and publish an announcement on the TISE website via its listing sponsor) within 10 business days of any call, purchase, redemption or cancellation of any of the listed bonds by the issuer and, where applicable, notify TISE via its listing sponsor of the intention to de-list such bonds. The information must state the amount of the bonds to be called, purchased, redeemed or cancelled and the amount of bonds to be outstanding after the transaction or series of transactions is completed.

Full Redemptions

A "full redemption" is where all of the listed bonds are repaid or redeemed. This requires a delisting application to be submitted to TISE. This process presumes that no more bonds of this class would be issued or listed in future.

Please see a summary of requirements for a full redemption below:

1. WCML would prepare a letter as acting Sponsor to be submitted to TISE. The letter would disclose the intended date of the...