Qimonda AG - 25M Share Offering Priced At $10.92
Copyright (c) 2007 Dow Jones & Company, Inc.
09/20 22:36 DJ Share, Bond Issues To Reduce Infineon's Stake In Qimonda
Edited Press Release
Infineon Technologies AG (IFX) Friday announced that it had, together with the lead underwriters, fixed the issue price and size of its sale of Qimonda AG (QI) American Depository Shares (ADS), as well as the final conditions for the exchangeable bond and the volume of the related share lending agreement.
For the sale of Qimonda-ADSs, the issue price is US$10.92 per ADS. In total, 25 million ADSs were placed in the market, representing an aggregate issue size of EUR194 million. Infineon's interest in Qimonda has been reduced to 78.6%. This figure does not take into account exercise of the greenshoe option of an additional 3.75 million shares. Should this option be exercised in full, Infineon's share in Qimonda would decline further to 77.5%.
In parallel, Infineon Technologies Investment B.V., a wholly owned subsidiary of Infineon Technologies AG, issued an exchangeable bond in the amount of EUR190 million. The coupon of the three-year exchangeable bond is 1.375% per year. The exchange price is US$14.74 for each Qimonda ADS, corresponding to an exchange premium of 35%. If all bondholders exercise their exchange rights, Infineon would deliver 18.1 million Qimonda ADSs, equivalent to approximately 5.3% of Qimonda's share capital. This does not take into account an additional greenshoe option on the exchangeable bond of EUR25 million with an additional 2.4 million underlying Qimonda shares. Should the greenshoe option be exercised and should all bondholders exercise their exchange rights also for the greenshoe portion, then the percentage of Infineon's Qimonda holding placed through the exchangeable bond would increase to 6%.
Concurrently with these transactions, Infineon has loaned an affiliate of U.S. investment bank JP Morgan Securities, 3.6 million Qimonda ADSs ancillary to the placement of the exchangeable bond which were all placed as part of the Qimonda ADSs sale. |
