Jardine Matheson JM plans to part-finance a share buyback costing up to $908 million via a $550 million issue of bonds convertible into the Chase Manhattan shares it received as a result of Chase Manhattan's acquisition of Robert Fleming. The bonds, which have a maturiy of seven years and carry a coupon of 4.75%, can be exchanged for Chase Manhattan shares at a price of $63.16 - a 22.64% premium to Chase Manhattan's closing share price on 3 August. Investors can excercise the convertible one year after issue, though JM may decide whether to settle in cash or Chase shares.
In total, JM received cash and Chase Manhattan shares worth ...
