The redemption was conditioned on the closing of GlobeNet's private placement of newly-issued common shares for proceeds of at least $240 million. On July 14, 1999, GlobeNet successfully completed a private placement of newly-issued common shares for proceeds of $270.6 million.
As of the expiration of the offer, GlobeNet had received validly tendered election forms from its existing shareholders expressing their willingness to sell in excess of $40 million of common shares (2 million common shares) in the redemption. GlobeNet accepted 1.5 million common shares for redemption on a pro rata basis according to the number of common shares tendered by each participating shareholder. Payment for the common shares will be made to the participating shareholders by August 23, 1999.
GlobeNet Communications Group Limited is an independent developer of international fiber-optic cable facilities and a licensed international telecommunications carrier in Bermuda through its wholly-owned subsidiary, TeleBermuda International Limited. Through TBI, it has been providing a full range of international telecommunications services in Bermuda since its establishment in 1997. GlobeNet, with headquarters in St. David's, Bermuda, has offices in Toronto and Montreal, and its common shares are traded on the Bermuda Stock Exchange (GLOCOM).