This article provides a summary of Appleby listing agent services in the Channel Islands, and also offers an introduction to listing private equity acquisition debt on The International Stock Exchange (TISE).
Appleby Securities (Channel Islands) Ltd ("Appleby") and TISE work together on a significant number of listings of debt securities on TISE.
Many of these debt securities are issued as part of private equity backed acquisitions and relate to the financing of UK businesses.
In summary, an issuer within an acquisition stack will issue loan notes to a private equity house, the management teams and/or other intragroup entities. These loan notes may be convertible or secured and are issued under English law governed finance documents. Appleby works closely alongside English lawyers and advisors, in order to list the loan notes on TISE.
The listed loan notes are classified as "Quoted Eurobonds". Ordinarily, a UK issuer may need to withhold tax from interest payments. However, as TISE is a stock exchange recognised by Her Majesty's Revenue and Customs (HMRC) under English law, "Quoted Eurobonds" listed on TISE can benefit from the "Quoted Eurobond Exemption". This can allow the issuer to make interest payments on the loan notes without the deduction of any withholding tax.
APPLEBY LISTING SPONSOR SERVICES
Appleby is a leading listing agent with TISE, which listed 831 securities during 2020 against the backdrop of the coronavirus (COVID-19) global pandemic. This is the second highest annual total of new listings since the inception of TISE and Appleby acted as listing agent on an increasing number of these listings, representing a 37% increase on 2019.
Appleby assists domestic and international entities looking for a primary or secondary listing on TISE. Our listings team is committed to delivering a highly professional and integrated service, coordinating the listing process, and supporting the issuer through their application. We also act as our client's ongoing listing agent and assist them in meeting their continuing obligations as a listed issuer on TISE.
THE INTERNATIONAL STOCK EXCHANGE
TISE is a regulated marketplace from within the European time zone but outside the European Union. TISE is a "Recognised Stock Exchange" by UK HM Revenue & Customs. Today there are more than 3,100 securities listed on TISE. The majority of listings on TISE are for debt securities (including Quoted Eurobonds and High Yield Bonds) but TISE can also list other types of securities, such as REITs, Green Bonds, SPACs, other investment vehicles and equity listings.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.