Kernel Offers Shares to Institutional Investors
OREANDA-NEWS. On 06 March 2008 was announced, that Kernel Holding S.A. announces its intention to raise approximately US$ 80m (PLN190m) through an offering to institutional investors of new ordinary shares of the Company. The Company intends to use the proceeds of the Offering for the financing of its farming development in Ukraine. The farming development comes in addition to the development plan announced prior to the listing of the Company on the Warsaw Stock Exchange in November 2007. Since the beginning of the year, Kernel has announced the acquisition of farming enterprises managing 26,000 hectares of long-term leasehold land.
The Offering is addressed exclusively and therefore the offer shares may only be acquired by certain investors ("Eligible Investors"), that is: qualified investors, within the meaning of article 8 of the Polish Act on Public Offering, Conditions Governing the Introduction of Financial Instruments to Organised Trading, and Public Companies dated July 29th 2005, and within the meaning of Article 2(1)(e) of the Prospectus Directive (Directive 2003/71/EC), other investors each of whom acquires securities of a value (calculated on the basis of the offer price) of at least the zloty equivalent of EUR 50,000 (calculated at the mid exchange rate for the euro quoted by the National Bank of Poland for the day on which that price is determined). The Offering will be conducted through an accelerated bookbuild. The bookbuild is now open and is expected to close at 18:00 Warsaw time on Thursday, 6 March.
ING Securities S.A. will act as Sole Bookrunner (the "Bookrunner") in the Offering. The Bookrunner will accept subscription orders only from those of the Eligible Investors who will be invited by it to participate in the Offering.
The number of shares in the Offering will be determined by the final price, but will not, in any case, exceed 10% of the issued share capital of Kernel as of the date hereof. Andrey Verevskyy, Chairman of the Board of Directors, has indicated his intention to participate in the Offering through Namsen Limited by investing up to US$10m.
It is anticipated that the issue price for the Offering and the allocations to institutional investors will be announced on Friday, 7 March. It is the intention of the Company to prioritise allocations to existing shareholders. Allottees in the Offering will receive shares on Wednesday, 12 March.
The shares that will be delivered to investors are already listed and therefore will be tradable on the Warsaw Stock Exchange immediately after settlement of the transaction. Namsen Limited, a company controlled by Andrey Verevskyy, which as of the date hereof holds 40,574,250 shares of the Company, representing 64.06% of the issued share capital, will lend shares in Kernel for the purpose of settlement and to ensure that investors in the Offering can receive and trade their allocations immediately after settlement. The Extraordinary General Meeting ("EGM") held for the purpose of issuing an equivalent amount of new shares is planned for 2 April 2008.
In connection with the offering, Kernel and Namsen Limited have agreed to a lock-up commitment for a period ending six months after the date of the proposed EGM with respect to the issuance or sale of further equity of the Company.
Speaking on the Offering, Chairman of the Board of Directors, Andrey Verevskyy, said "We very much believe that it is the right time for the Company to grow its farming division. With proceeds from this offering, Kernel wants to take advantage of this unique opportunity."
Комментарии