Printer Friendly

Consolidated Water Subsidiary Issues Bonds to Finance Water Desalination Facilities in Bahamas.

B$10 Million Bonds Sold Exclusively to Citizens and Permanent Resident Investors in the Bahamas

GEORGE TOWN, Grand Cayman, Cayman Islands, July 8 /PRNewswire-FirstCall/ -- Consolidated Water Co. Ltd. ("Consolidated") , which develops and operates reverse osmosis seawater conversion plants and water distribution systems in areas where natural supplies of drinking (i.e., potable) water are scarce or nonexistent, today announced that its Waterfields Company Limited subsidiary ("Waterfields") has completed the sale of B$10 million (Bahamian dollars) in Series A bonds to Bahamian citizens and permanent resident investors.

The bonds, which mature on June 30, 2015 and accrue interest at an annual fixed rate of 7.5%, will finance a portion of the construction of the new seawater desalination plant (the "Blue Hills Plant") and the expansion of Consolidated's existing seawater desalination plant (the "Windsor Plant") on the Island of New Providence. Consolidated has an option to redeem the bonds in whole or in part without penalty after June 30, 2008.

As previously announced, on February 16, 2005, the Government of the Commonwealth of the Bahamas accepted the bid of Consolidated and Waterfields to build and operate the Blue Hills Plant.

In order to induce investors to purchase Bahamian dollar denominated bonds, Consolidated, the majority owner of Waterfields, issued a Guarantee of Waterfields' obligations to pay all principal and accrued interest to the bondholders.

"While the guarantee is a general unsecured obligation of Consolidated, the transaction affords us the opportunity to finance in the local currency, thereby matching our obligation to the currency of our future income stream and avoiding any future currency conversion expense that may have resulted if financing was denominated in US dollars," noted Joe Pivinski, Chief Financial Officer of Consolidated. "Also, we have eliminated the risk of exchange loss in the unlikely event of a change in the Bahamian dollar's fixed parity with the US dollar."

Consolidated has made application to the Bahamas International Securities Exchange (BISX) to have the bonds become the first to be listed on the exchange.

Further information on the issuance of the bonds and the Guarantee is available on a Form 8-K filed by Consolidated with the Securities and Exchange Commission on July 7, 2005.

Consolidated Water Co. Ltd. is engaged in the development and operation of seawater conversion plants and/or water distribution systems in areas of the world where naturally occurring supplies of potable water are scarce or nonexistent. Consolidated currently operates water production and/or distribution facilities in the Cayman Islands, the British Virgin Islands, Barbados, Belize and the Commonwealth of the Bahamas.

The common stock of Consolidated Water Co. Ltd. is traded on the NASDAQ National Market under the symbol "CWCO". Additional information on the Company is available on its website at

This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe", "estimate", "project", "intend", "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, continued acceptance of the Company's products and services in the marketplace, changes in its relationship with the Governments of the jurisdictions in which it operates, the ability to successfully secure contracts for water projects in other countries, the ability to develop and operate such projects profitably, the Company's ability to manage growth and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

For further information, please contact:

Frederick W. McTaggart, President and CEO at (345) 945-4277 or via e-mail at

RJ Falkner & Company, Inc., Investor Relations Counsel at (800) 377-9893 or

via e-mail at

CONTACT: Frederick W. McTaggart, President and CEO of Consolidated Water Co. Ltd., +1-345-945-4277,; or RJ Falkner & Company, Inc., Investor Relations Counsel, +1-800-377-9893,, for Consolidated Water Co. Ltd.

Web site:
COPYRIGHT 2005 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 8, 2005
Previous Article:Liberty Media Corporation Announces When-Issued Trading Information for Discovery Holding Company.
Next Article:Capital Hill: Toiyabe Peaks Uranium Project.

Related Articles
Consolidated Water Co. Ltd. Acquires Water Operations in British Virgin Islands, Barbados and Cayman Islands; Company Hopes to Complete Acquisition...
Consolidated Water Co. Ltd. Agrees to Acquire Water Operations in British Virgin Islands, Barbados, Cayman Islands and the Bahamas for Approximately...
Consolidated Water Awarded Contract for Blue Hills Water Project in Bahamas.
Consolidated Water Announces Equity Offering.
Consolidated Water Co. Ltd. to Present at the Susquehanna Financial Group, LLP 'Emerging Trends Conference' on November 1, 2006.
Consolidated Water Co. Ltd. Schedules Third Quarter Conference Call for Monday, November 13, 2006.
Consolidated Water Co. Ltd. Schedules Fourth Quarter Conference Call for Monday, March 19, 2007.
Consolidated Water Co. Ltd. Schedules First Quarter Conference Call for Monday, May 14, 2007.
Consolidated Water Co. Ltd. Schedules Fourth Quarter Conference Call for Tuesday, March 18, 2008.
Consolidated Water Co. Ltd. Schedules First Quarter Conference Call for Tuesday, May 13, 2008.

Terms of use | Copyright © 2018 Farlex, Inc. | Feedback | For webmasters