China Cablecom Announces Over $560K Debt Cancelled in Ongoing Debt Reduction
November 12 2009 - 8:15AM
PR Newswire (US)
Conversions of Series A Preferred Shares Reduce Principal under
Junior Secured Notes SHANGHAI, Nov. 12 /PRNewswire-FirstCall/ --
China Cablecom Holdings, Ltd. ("China Cablecom" or the "Company")
(NASDAQ:CABL) (NASDAQ:CABLW) (NASDAQ: CABLU), a joint-venture
provider of cable television services in the People's Republic of
China (PRC), is pleased to announce that certain holders of the
Company's Junior Secured Notes due 2016 have converted
approximately 1.59 million of the Company's Series A Preferred
Shares into Ordinary Shares, resulting in the automatic
cancellation of approximately $566,500 in principal amount of the
converting stockholders' Junior Secured Notes. On October 8, 2009,
the Company completed a debt restructuring of certain of its
long-term obligations in exchange for new Junior Secured Notes and
newly issued Series A Preferred Shares, each share of which is
convertible at the option of the holder into one Ordinary Share.
The terms of the Junior Secured Notes provide that during the 14
months following the closing of the restructuring, the principal
amount of a Junior Secured Note is automatically reduced upon its
holder's conversion of any Series A Preferred Shares issued to that
noteholder in the restructuring. The principal amount that is
cancelled is in proportion to the number Series A Preferred Shares
issued to that noteholder in the restructuring which that
noteholder converts to Ordinary Shares. As a result of these
conversions, the Company's total outstanding Ordinary Shares is
12,013,434. About China Cablecom China Cablecom is a joint-venture
provider of cable television services in the People's Republic of
China, operating in partnership with a local state-owned enterprise
("SOE") authorized by the PRC government to control the
distribution of cable TV services through the deployment of analog
and digital cable services. China Cablecom has consummated the
acquisition of a 55 percent economic interest in a cable network in
Hubei province with paying subscribers exceeding 1,100,000. The
Company originally acquired operating rights of the Binzhou
Broadcasting network in Binzhou, Shandong Province in September
2007 by entering into a series of asset purchase and services
agreements with a company organized by SOEs, owned directly or
indirectly by local branches of State Administration of Radio, Film
and Television in five different municipalities to serve as a
holding company of the relevant businesses. China Cablecom now
operates 28 cable networks with over 1.67 million paying
subscribers. China Cablecom's strategy is to replicate the
acquisitions by operating partnership models in other
municipalities and provinces in the PRC and then introducing
operating efficiencies and increasing service offerings in the
networks in which it operates. Safe Harbor Statement The matters
discussed in this press release contain "forward-looking
statements" as defined in the Private Securities Litigation Reform
Act of 1995. Forward-looking statements contained in this
presentation and in the Company's other written and oral reports
are based on current Company expectations and are subject to
numerous risks, uncertainties and assumptions, Any forward-looking
statements are not guarantees of future performance and actual
results of operations, financial condition and liquidity.. The
forward-looking statements herein speak only as of the date stated
herein and might not occur or the actual results may differ
materially in light of these risks, uncertainties, and assumptions.
The Company undertakes no obligation and disclaims any obligation
to publicly update or revise any forward-looking statements,
whether as a result of new information, future events, or
otherwise. You should carefully consider these factors, as well as
the additional risk factors outlined in the filings that the
Company makes with the U.S. Securities and Exchange Commission,
including the Annual Report on Form 20-F filed on July 15, 2009.
CONTACT: China Cablecom Holdings, Ltd. Debra Chen Phone:
917.499.8129 Email: DATASOURCE: China Cablecom Holdings, Ltd.
CONTACT: Debra Chen of China Cablecom Holdings, Ltd.,
+1-917-499-8129, Web Site: http://www.chinacablecom.net/
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