USB decided capital increase via rights and issue of bond of €10m for strengthening of capital base
9/9/2009 10:43
Further to our letter dated 3/9/2009, we wish to inform you that at the meeting held on September 8, 2009 for the examination of capital issues, the Board of Directors of USB Bank Plc decided the following:
1. Increase in the share capital via the issue of 45,384,453 Rights, that is, 1 Right for every issued ordinary share of nominal value €0.57, pursuant to the CSE Regulations. With this issue, up to €15 million will be absorbed. The new shares will rank pari passu with the existing shares.
2. Issue of convertible bond of 10-year duration of €10 million. The Board of Directors will be able to expand the sum of issue of the convertible bond up to €15 million.
The Rights and the right of participation in the issue of convertible bonds will be offered to the existing shareholders on the cum-date as this will be determined with the safeguard of the necessary approvals by the competent authorities. Details on the issue terms, including the exercise price, as well as the terms of issue of the convertible bond, will be announced the soonest possible, after the completion of the estimates on the market conditions during the issues. With the setting of the issue terms, the Company will submit the necessary documents to the competent authorities.
Via the two issues, the capital that will be absorbed will be used for the strengthening of the Bank’s capital base.
1. Increase in the share capital via the issue of 45,384,453 Rights, that is, 1 Right for every issued ordinary share of nominal value €0.57, pursuant to the CSE Regulations. With this issue, up to €15 million will be absorbed. The new shares will rank pari passu with the existing shares.
2. Issue of convertible bond of 10-year duration of €10 million. The Board of Directors will be able to expand the sum of issue of the convertible bond up to €15 million.
The Rights and the right of participation in the issue of convertible bonds will be offered to the existing shareholders on the cum-date as this will be determined with the safeguard of the necessary approvals by the competent authorities. Details on the issue terms, including the exercise price, as well as the terms of issue of the convertible bond, will be announced the soonest possible, after the completion of the estimates on the market conditions during the issues. With the setting of the issue terms, the Company will submit the necessary documents to the competent authorities.
Via the two issues, the capital that will be absorbed will be used for the strengthening of the Bank’s capital base.
