Invincible Investment Partially Unwinds Put/Call Option On Cayman Hotels Cash Flow

June 11, 2019 — Invincible Investment Corporation announced that it implemented the unwinding of the following put/call options that were carried out with respect to cash flows from the Westin Grand Cayman Seven Mile Beach Resort & SPA and the Sunshine Suites Resort.

INV has carried out the Put/Call Options to hedge the fluctuation of exchange rates in relation to cash flows from the Cayman Hotels, designating an amount of approximately 85% of the assumed NOI for the Cayman Hotels as the hedged amount. However, the operations of the Cayman Hotels have been suspended since late March 2020 due to the spread of the COVID-19 virus and the reopening is expected to be on or after October 1, 2020 at the earliest. It is anticipated that income from the Cayman Hotels will significantly decrease during the period from July to September 2020.

Therefore, INV has unwound the Put/Call Options (contract amount: USD 3,939,000), among the transactions which were announced in “Notice concerning Execution of Put/Call Options” dated March 4, 2019, prior to the expiration date (October 7, 2020).

Except for the Put/Call Options subject to the Unwinding and the already unwound put/call options announced in “Notice concerning Partial Unwinding of Put/Call Options” dated May 15, 2020, INV will maintain the put/call options that have not expired yet, as announced in each of “Notice concerning Execution of Put/Call Options” dated March 4, 2019 and February 21, 2020.

INV unwound the Put/Call Options at the spot rate (1 USD = 107.38 JPY) as of June 10, 2020.

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