SSAB Svenskt Stål AB (STO:SSABA) (STO:SSABB) (HEX:SSABAH) (HEX:SSABBH)
The preliminary result of SSAB AB’s (publ) (“SSAB”) rights issue, for which the subscription period ended on June 17, 2016, indicates that 472,855,180 class B shares, corresponding to approximately 98.4 per cent of the class B shares offered, were subscribed for by the exercise of subscription rights. Additionally, applications for subscription without subscription rights of 190,420,454 class B shares, corresponding to approximately 39.6 per cent of the class B shares offered, have been received. Thus, the rights issue is oversubscribed. As a result of the rights issue, SSAB will receive proceeds amounting to approximately SEK 5 billion before transaction costs.
“In the current challenging situation where the steel industry is suffering heavily from global overcapacity, we appreciate the trust shown in us by our existing shareholders and by the interest in SSAB from new investors, who decided to participate in the rights issue. Completion of the rights issue and the refinancing package that we now have in place will enable us to secure SSAB’s long-term possibilities to continue to develop our activities to achieve our goal of industry-leading profitability. A strongly improved financial position will mean we are well placed to take advantage of the opportunities in the market while driving growth in our well-defined focus areas,” said Martin Lindqvist, President and CEO of SSAB.
The final results of the rights issue will be published on or around June 27, 2016. Allotment of shares that were subscribed for without subscription rights will be made in accordance with the principles outlined in the prospectus. Notification regarding the allotment of shares to be registered at Euroclear Sweden and traded on Nasdaq Stockholm will be sent only to those who have been allotted shares. Notification regarding allotment of shares to be registered at Euroclear Finland and traded on Nasdaq Helsinki will be sent both to those who have been allotted shares and to those who have not been allotted shares. As a result of the rights issue, SSAB’s share capital will increase by SEK 4,229,190,380.80 from SEK 4,833,360,488.00 to SEK 9,062,550,868.80 in total, and the total number of shares will increase by 480,589,816 from 549,245,510 to 1,029,835,326.
The new class B shares subscribed for with subscription rights are expected to be registered by the Swedish Companies Registration Office (“SCRO”, Sw. Bolagsverket) on or about June 23, 2016. The last day of trading in the interim shares (“BTA”) is expected to be on June 30, 2016. Trading of the new class B shares is expected to begin on Nasdaq Stockholm and Nasdaq Helsinki on July 6, 2016.
The new class B shares subscribed for without subscription rights are expected to be registered by the SCRO on or about July 5, 2016 and are expected to start trading on Nasdaq Stockholm and Nasdaq Helsinki on July 7, 2016.
Syndicate of banks and legal advisers
Crédit Agricole Corporate and Investment Bank, Handelsbanken Capital Markets, Nordea Bank AB (publ) and Swedbank AB (publ) are acting as Joint Global Coordinators and Mannheimer Swartling Advokatbyrå as legal adviser to SSAB in connection with the rights issue.
SSAB AB (publ) discloses the information in this press release according to the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act. The information was provided for public release on June 22, 2016 at 8:30am CEST.
The information in this press release does not contain or constitute an offer to acquire, subscribe or otherwise trade in shares, subscription rights or other securities in SSAB. Any invitation to the persons concerned to subscribe for shares in SSAB will only be made through the prospectus previously published.
This press release may not be released, published or distributed, directly or indirectly, in or into Australia, Japan, Canada, the United States or any other jurisdiction where participation would require additional prospectuses, registration or measures besides those required by Swedish, Finnish, Danish, British and Irish law. Nor may this press release be distributed in or into such countries or any other country or jurisdiction in which distribution requires such measures or otherwise would be in conflict with applicable regulations. Any failure to comply with the restrictions described may result in a violation of applicable securities regulations.
No subscription rights, paid subscribed shares or shares in SSAB have been or will be registered under the United States Securities Act of 1933, as amended (the “Securities Act”) or the securities legislation of any state or other jurisdiction in the United States and no subscription rights, paid subscribed shares or shares may be offered, subscribed for, sold, resold, delivered or otherwise transferred, directly or indirectly, in or into the United States except under an available exemption from, or transaction not subject to, the registration requirements under the Securities Act and in compliance with the securities legislation in the relevant state or any other jurisdiction of the United States. There is no intention to register any securities referred to herein in the United States or to make a public offering of the securities in the United States.
This press release contains certain forward-looking information that reflects SSAB’s present view of future events as well as financial and operational development. Words such as “intend”, “assess”, “expect”, “may”, “plan”, “believe”, “estimate” and other expressions entailing indications or predictions of future development or trends, not based on historical facts, constitute forward-looking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties as it depends on future events and circumstances. Forward-looking information is not a guarantee of future results or development and actual outcomes may differ materially from the statements set forth in the forward-looking information.
SSAB is a Nordic and US-based steel company. SSAB offers value added products and services developed in close cooperation with its customers to create a stronger, lighter and more sustainable world. SSAB has employees in over 50 countries. SSAB has production facilities in Sweden, Finland and the US. SSAB is listed on the Nasdaq OMX Nordic Exchange in Stockholm and has a secondary listing on the Nasdaq OMX in Helsinki. www.ssab.com.
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