Carnival Group International Holdings Limited (SEHK:996) announced that it has entered into a subscription agreement with new investor China Huarong Macau (HK) Investment Holdings Limited for private placement of 6.5% secured convertible bonds due 2020 for gross proceeds of HKD 390,000,000 on April 6, 2017. The bonds will carry coupon rate of 6.5% per annum, payable semi annually and will mature on the third anniversary of the issue date. The bonds issued are convertible into 412,262,156 conversion shares, representing 2.38% stake in the company, at a fixed conversion price of HKD 0.946 per share within the period from date of issuance till five days before maturity date. The bonds will be issued at par. The transaction is not subject to shareholder approval. The company will pay commission and other related expenses of HKD 16,000,000 and will receive net proceeds of HKD 374,000,000. The bonds issued are guaranteed, non-redeemable, direct, senior, unsubordinated, unconditional and secured. The transaction is expected to close within three days from date of fulfillment of all the conditions to the agreement which will not be later than June 30, 2017.