Highlight 6 July 2020

Krogerus advises managers on Outokumpu's EUR 125 million convertible bond offering

Krogerus advised the managers, including Citigroup Global Markets Limited as sole global coordinator and joint bookrunner, on the offering of EUR 125 million convertible bonds by Outokumpu, which will be convertible into new and/or existing ordinary shares in Outokumpu. The convertible bonds were offered through an accelerated book building process to institutional investors and carry a coupon of 5.00 per cent per annum.

To facilitate the offering of the convertible bonds, concurrently with the placement of the convertible bonds, Citigroup Global Markets Limited conducted a placement of existing shares in Outokumpu on behalf of subscribers of the convertible bonds who wished to sell such shares in short sales in order to hedge the market risk of an investment in the convertible bonds. The initial conversion price of the convertible bonds represents a premium of 32.5 per cent above the placement price of such shares.

Outokumpu is expected to list the convertible bonds on the Open Market (Freiverkehr) segment of the Frankfurt Stock Exchange or on another internationally recognised and regularly operating stock exchange.

The Krogerus team, led by Partner Tom Fagernäs, included Counsel Paul Raade.

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