News

, August 19, 2010

Ordina N.V. issues 216,079 shares

Highlights

  • Ordina N.V. has recently made the second interest payment on the subordinated loan contracted in 2009 via a payment in cash.
  • In this context, Ordina N.V. has decided to issue 216,079 new ordinary shares under the existing underwriting agreement. The share issue represents a total value of EUR 618,750.- and corresponds with about 0.43% of the present share capital outstanding.
  • The shares will be acquired by ING Corporate Investments, Delta Lloyd and NIBC.

Cause for the share issue

As part of renewing its financing facilities, Ordina N.V. contracted a subordinated loan in 2009. It also concluded a separate underwriting agreement with ING Corporate Investments, Delta Lloyd and NIBC under which Ordina, at its discretion, has the option to issue shares to these companies – proportionate to their participation in the subordinated loan – at the then prevailing share price subject to a 6% discount. Ordina N.V. is free to use the proceeds of such share issues how it sees fit, amongst which to offset the cash-out effect of the interest and repayment obligations.

At the time of the first interest payment, at the end of June 2010, Ordina opted not to issue shares under the existing underwriting agreement. This choice was prompted in part by the fact that, given the amount of the interest payment, a potential share issue would use up much of the share-issuing potential granted by the Annual General Meeting of Shareholders. In view of the relatively limited scale of the current share issue, this time it was decided to issue new shares. Another factor that was considered is that the company wishes to have all the flexibility it needs to be able to grasp investment opportunities in the market as they present themselves.

Details of the share issue

Ordina N.V. will retain the proceeds from the share issue, thereby offsetting the cash-out effect of the second interest payment on the subordinated loan. A total of 216,079 new ordinary shares in Ordina N.V. will be issued as of 20 August 2010. This represents an increase of about 0.43% in the outstanding share capital. The shares will be issued at a price of EUR 2.86 per share.