Cordiant Digital Infrastructure subscription shares : CSRD

Cordiant Digital Infrastructure Limited aims to generate attractive total returns for shareholders over the longer term, comprising capital growth and a progressive dividend through investment in digital infrastructure assets, with a predominant focus on data centres, mobile telecommunications/broadcast towers and fibre-optic network assets.

Subscription shares were issued at IPO on a one for eight basis (one subscription share for every eight ordinary shares bought at IPO). These are exercisable at any time between 1 March 2021 and 28 February 2026 but at escalating prices (a headline price compounding at 9% a year, which is the same as the fund’s target returns, less the dividends that have been accrued up to the date of the exercise):

Where the Subscription Date is: Headline Subscription Price (p)
between 1 March 2021 and 31 August 2021 100.00
between 1 September 2021 and 28 February 2022 109.00
between 1 March 2022 and 28 February 2023 118.81
between 1 March 2023 and 29 February 2024 129.50
between 1 March 2024 and 28 February 2025 141.16
between 1 March 2025 and 28 February 2026 153.86

So, say that the trust paid a dividend of 1p in its first year and 2.5p in its second year, the exercise price at the start of year three would be 118.81p -1p -2.5p = 115.31p.