euro adhoc: TUI AG
Capital measures
TUI AG prices convertible bond offering
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
24.05.2007
NOT FOR DISTRIBUTION OR RELEASE IN OR INTO THE UNITED STATES OF AMERICA (OR TO US PERSONS), AUSTRALIA, CANADA OR JAPAN, OR IN ANY OTHER JURISDICTION IN WHICH OFFERS OR SALES WOULD BE PROHIBITED BY APPLICABLE LAW
The Management Board of TUI AG ("TUI") resolved today, subject to the
consent of the Supervisory Board, to issue unsecured, unsubordinated
convertible bonds (the "Bonds"). The Bonds are issued by TUI AG and
were placed only with institutional investors outside of the US. The
pre-emptive rights of shareholders of TUI AG to subscribe to the
Bonds were excluded.The issue size is EUR632.5 million. Due to strong demand, the initial issue size of EUR550 million was directly increased by EUR82.5 million (the "Upsize Option"). In addition, TUI has granted the banks managing the placement, Citi, Deutsche Bank and Unicredit MIB, a greenshoe option of up to EUR61.5 million to cover over-allotments. The total issue size can therefore amount up to EUR694 million.
The conversion price is set to EUR27.68 representing a premium of 30% above the volume weighted average XETRA price of TUI´s ordinary shares during the placement. Up to approximately 25.07 million ordinary shares of TUI are underlying the Bonds at the outset (assuming that the greenshoe option is fully exercised).
The maturity of the Bonds is 5 years and 3 months. The Bonds will be issued at 100% of the principal amount on 1 June 2007 (the "Settlement Date") and pay a coupon of 2.75%.
TUI intends to list the Bonds on the Euro MTF market of the Luxembourg Stock Exchange.
Citi, Deutsche Bank and Unicredit MIB are acting as Joint Bookrunners
("the Joint Bookrunners") and sole syndicate members of the Offering.
Deutsche Bank is acting as stabilisation manager (the "Stabilising
Manager") of the issue. In connection with the Offering, the
Stabilising Manager, from today until the earlier of 30 days after
the Settlement Date or 60 days after allotment of the Bonds, may, to
the extent permitted by applicable laws and regulations, effect
transactions with a view to supporting the market price of the Bonds
and/or the shares of TUI at a level higher than that which may
otherwise prevail. There is, however, no obligation to undertake such
stabilisation measures, and such stabilisation measures may, after
they have been commenced, be terminated at any time. The greenshoe
option can only be exercised to an amount of up to EUR61.5 million
until the Settlement Date. At the end of the stabilisation period a
statement on stabilisation measures and the exercise of the greenshoe
option if undertaken are published in the German newspapers
Frankfurter Allgemeine Zeitung and Börsenzeitung.TUI intends to use the proceeds from the sale of the convertible bonds for general corporate purposes as well as to have the possibility to refinance part of its existing indebtedness.
Stabilisation FSA.
Hanover, 24 May 2007 The Executive Board
This press release is for information purposes only and does not constitute or form part of, and should not be construed as an offer or an invitation to sell, or issue or the solicitation of any offer to buy or subscribe for, any securities. In connection with this transaction there has not been, nor will there be, any public offering of the Bonds. No prospectus will be prepared in connection with the offering of the Bonds. The Bonds may not be offered to the public in any jurisdiction in circumstances which would require the Issuer of the Bonds to prepare or register any prospectus or offering document relating to the Bonds in such jurisdiction. The distribution of this press release and the offer and sale of the Bonds in certain jurisdictions may be restricted by law. Italy has only partially implemented the Prospectus Directive and, accordingly, the provisions of the Prospectus Directive shall apply with respect to Italy only to the extent to which the relevant provisions of the Prospectus Directive have already been implemented in Italy. The Bonds may not be placed, sold or offered to individuals resident in Italy in the primary or in the secondary market. Any persons reading this press release should inform themselves of and observe any such restrictions.
This press release does not constitute an offer to sell or a solicitation of an offer to purchase any securities in the United States. The securities referred to herein (including the Bonds and the shares of TUI) have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act") or the laws of any state within the U.S., and may not be offered or sold in the United States or to or for the account or benefit of U.S. persons, except in a transaction not subject to, or pursuant to an applicable exemption from, the registration requirements of the Securities Act or any state securities laws. This press release and the information contained herein may not be distributed or sent into the United States, or in any other jurisdiction in which offers or sales of the securities described herein would be prohibited by applicable laws and should not be distributed to United States persons or publications with a general circulation in the United States. No offering of the Bonds is being made in the United States.
This press release is only being distributed to and is only directed at (i) persons who have professional experience in matters relating to investments falling within Article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") and (ii) high net worth entities falling within Article 49(2) of the Order and (iii) persons to whom it would otherwise be lawful to distribute it (all such persons together being referred to as "relevant persons"). The Bonds are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such Bonds will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this press release or any of its contents.
end of announcement euro adhoc 24.05.2007 15:33:03
Further inquiry note:
Bjoern Beroleit
Tel.: +49(0) 511-566-1318
E-Mail: bjoern.beroleit@tui.com
Branche: Transport
ISIN: DE000TUAG000
WKN: TUAG00
Index: DAX, CDAX, HDAX, Prime All Share
Börsen: Frankfurter Wertpapierbörse / official dealing/prime standard
Börse Berlin-Bremen / official dealing
Hamburger Wertpapierbörse / official dealing
Baden-Württembergische Wertpapierbörse / official dealing
Börse Düsseldorf / official dealing
Niedersächsische Börse zu Hannover / official dealing
Bayerische Börse / official dealing