Global Depository Receipts
Investing in Chagala Group Ltd
- Chagala’s GDRs trade on the London Stock Exchange
- One (1) Chagala GDR represents four (4) Chagala ordinary shares
- Chagala’s GDRs can be issued and cancelled through Citibank N.A., Chagala’s Depositary Bank
- Investors can hold Chagala ordinary shares through a Reg S or Rule 144A ADR programme
What is a GDR?
A Global Depositary Receipt (GDR) is a negotiable instrument issued by a depositary bank in international markets – typically in Europe and generally made available to investors both outside and within the U.S.
Each GDR represents a specific number of underlying ordinary shares in the international company, on deposit with a custodian in the applicable home market. GDRs are quoted and traded in U.S. dollars, pay dividends in U.S. dollars and are subject to the trading and settlement procedures of the market in which they are transacted.
GDRs are usually offered to investors through a private offering, in reliance on exemptions from registration under the Securities Act of 1933. These exemptions are Regulation S (Reg S) for non-U.S. investors and Rule 144A for U.S. investors that Qualified Institutional Buyers (QIBs.)
GDR Primary Benefits to Investors
- Globalise/diversify investment portfolio
- Trade, clear and settle according to home market conventions
- Eliminate cross-border custody safekeeping charges
- Receive dividend payments in USD
For more information on Chagala Group Ltd. GDRs, please contact Citigroup:
New York: +1 212 723 5435
London: +44 (0) 207 500 2030
E-mail: citiadr@citi.com