Bondholders Demand Higher Yields from Specialty Coffee Company

Bondholders Demand Higher Yields from Specialty Coffee Company

Bondholders of Specialty Coffee Company are pressing for higher interest rates and greater transparency before agreeing to a second extension of a maturing bond. The original bond, issued to refinance $1.9 billion in debt, was first extended to April 2023. Now, the company seeks to push the maturity date to October 2025. Michael Lee-Chin's investment firm is behind the bond, which has already been extended once. Bondholders are asking for up to 15% interest and access to financial records. The Jamaica Central Securities Depository (JCSD) confirmed the request for an extension but did not disclose specifics. Specialty Coffee has yet to respond to these demands. The company, which acquired Mavis Bank Coffee Factory in 2016, has a significant presence in the specialty coffee market, trading with regions including Asia, Europe, and North America.

Read the full article here.