Hospital Corp seeks extension on convertible bond maturities

HOSPITAL CORP (HKEX:3869) announced a connected transaction involving the proposed extension of the maturity dates for both its Vanguard Glory and Hony Fund VIII Convertible Bonds. The aim is to postpone substantial cash outflows. Specifically, the company seeks to extend the maturity of the Vanguard Glory Convertible Bonds from September 30, 2025, to September 30, 2027, and the Hony Fund VIII Convertible Bonds from September 30, 2025, to September 30, 2027. The extension is conditional on Independent Shareholder and Stock Exchange approval. If the extensions aren't approved, the company would need to redeem the bonds which equal HKD468,000,000 in Vanguard Glory Convertible Bonds and HKD773,879,717 in Hony Fund VIII Convertible Bonds on the original 2025 maturity date. The company will seek independent shareholder approval for this transaction at an upcoming EGM.