Gedeon announces tender for €833 million 4.4% five-year exchangeables

By Susanna Moon

Chicago, Nov. 6 - Gedeon Richter plc announced a cash tender offer for Hungary's €833.3 million 4.4% five-year notes exchangeable into Gedeon Richter shares.

Funding for the offer will come from the issue of €900 million bonds due 2019 exchangeable into Gedeon shares, according to a company press release.

The coupon on the new bonds is expected to be 3.375% to 3.875%, with an initial exchange premium of 30% to 35%.

Gedeon said it plans to tender the bonds it currently holds with an aggregate principal amount of €52 million and subscribe for the same amount of new bonds.

The Hungarian State Holding Co. priced €833.3 million of the five-year bonds exchangeable into shares of Gedeon Richter Chemical Works plc on Sept. 10, 2009 to yield 4.4% with an initial conversion premium of 32%, as previously reported.

The premium was based on the volume-weighted average price of Gedeon Richter shares from launch to pricing, or HUF 36,559.86.

Gedeon is a pharmaceutical company located in Budapest, Hungary.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.