BRITISH AMERICAN HOLDINGS LTD. ANNOUNCES COMPLETION OF PUBLIC OFFERING IN MAURITIUS OF SHARES OF BRITISH AMERICAN INSURANCE CO. (MITIUS) LTD.
NASSAU, Bahamas, Feb. 26 /PRNewswire/ -- Following the meeting of its Board of Directors held on February 21 in Nassau, British American Holding Ltd. ("Company") announced today the completion last week of a public offering in Mauritius of shares of British American Insurance Co. (Mitius) Ltd., the Company's affiliate in Mauritius. The shares have been listed for trading on the Mauritius Stock Exchange. The Company, which remains a part owner of British American Insurance Co. (Mitius) Ltd., realized approximately Rupees 33 million in cash from the offering. The Company also announced its prepayment of a Note in the amount of $4.7 million payable to Wilmington Trust Co., as trustee for the McMillen Trust. The Note represented partial consideration for the sale of shares of the Company and British American Insurance Co., Ltd. ("BA") by the McMillen Trust in connection with the corporate reorganization of the Company and BA in December 1991. A second Note in the amount of $6 million payable in July 1993, remains outstanding. The Board of Directors at their meeting on February 21 considered the possibility of an offer of the Company's stock in exchange for shares of BA currently held by the public. The Board's intention to consider such an exchange offer was previously disclosed in the proxy statement distributed to shareholders in October 1991. Corporate Counsel advised the Board that it was not possible to predict with any certainty the response to such an exchange offer. Consequently, there may be other corporate measures which could be employed to increase the chances of combining the Company and BA into a single entity. The Board considered the desirability of efficiencies and cost savings that might flow from such a combination. A recent change in Bahamian corporate law, however, significantly affected the range of alternative measures. The Board instructed counsel to prepare a specific plan for a combination to be presented to the Board for discussion at its next meeting, currently scheduled for March 15, 1993. The Board made no final decision on February 21 concerning whether or not to proceed with an exchange offer or other transaction intended to combine the Company and BA. -0- 2/26/93 /CONTACT: Ms. Judy A. Higgs, British American Holdings Ltd., Nassau, Bahamas, 809-322-2694, 809-322-2698 (fax)/
CO: British American Holdings Ltd.; British American Insurance Co. ST: IN: INS SU: OFR
DF -- CH013 -- 1078 02/26/93 18:52 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Feb 26, 1993|
|Previous Article:||BB&T FINANCIAL CORPORATION ANNOUNCES PLANS TO ACQUIRE MUTUAL SAVINGS BANK OF ROCKINGHAM COUNTY, SSB, INC.|
|Next Article:||NEW BREAST CANCER TEST|