Finnish vendor Nokia has priced €750m in convertible notes due 2017 at par.
The bonds carry a coupon of 5%, payable semi-annually in arrears from 26 April 2013, and have a conversion price of €2.6116. This represents a 28% premium above the average…
Finnish vendor Nokia has priced €750m in convertible notes due 2017 at par.
The bonds carry a coupon of 5%, payable semi-annually in arrears from 26 April 2013, and have a conversion price of €2.6116. This represents a 28% premium above the average price of shares it has listed on the NASDAQ OMX Helsinki exchange between the bond’s launch and pricing.
Nokia CFO Timo Ihamuotila said: “With this successful offering, we have secured long-term financing at attractive terms further strengthening our financial position and liquidity profile.”
According to the company, it can issue up to 287.2 million shares if no adjustments are made to the conversion price. This represents around 7.74% of its shares currently outstanding. The right to convert the bonds into shares commences on 6 December 2012, and ends on 18 October 2017.
As reported earlier today by TelecomFinance, BofA Merrill Lynch, Barclays, Citi and Deutsche Bank acted as joint bookrunners. BofA Merrill Lynch acted as settlement agent.
Nokia recently posted €7.2bn in Q3 revenue for 2012, compared with €8.98bn the year before. It posted an operating Q3 2012 loss of €576m, compared with a loss of €71m for Q3 2011.
