China Nickel makes last minute attempt to swap old CBs for new

The company offers to swap $180 million of existing CBs for a new issue of the same size and asks bondholders to forego the put option on the outstanding CBs as it lacks the cash to redeem the bonds at this point.

China Nickel Resources Holdings yesterday made a proposal to the holders of its outstanding zero-coupon convertible bond that matures in December 2012 to swap it for a new issue with the same maturity, but more favourable terms. The purpose of the swap is to avoid having to redeem the existing CB this coming December when a put option is due and consequently the company is also proposing to remove the put option on the existing bonds through a consent solicitation....

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