Touax announces the success of its offering of net share settled bonds convertible into new shares and/or exchangeable for existing shares (ORNANE), for an amount of approximately EUR 23 million

PRESS RELEASE    - Paris, 7 July 2015

TOUAX

YOUR OPERATIONAL LEASING SOLUTION

 

Touax announces the success of its offering of net share settled bonds convertible into new shares and/or exchangeable for existing shares (ORNANE) due 2020, for an amount of approximately EUR 23 million, following the full exercise of the increase option

Fixing of the final terms

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 Touax SCA (the « Company » or « Touax ») launched on 2 July 2015 an offering of net share settled bonds convertible into new shares and/or exchangeable for existing shares (ORNANE) due 10 July 2020 (the « Bonds ») for an initial nominal amount of approximately EUR 20 million. The transaction having been oversubscribed, the nominal amount has been increased to approximately EUR 23 million following the full exercise of the increase option by the Issuer in agreement with the Global Coordinators and Joint Lead Managers.

The issue of the Bonds aims at lengthening the average debt maturity of the group. The net proceeds from the issue will be applied up to EUR 10 million to the partial refinancing of the revolving credit facility borne by the Company and the bilateral loan granted by Bank of China, the remainder being applied to the progressive amortization of the short-term portion of other operating debts of the group, mainly such as leasing contracts (the latter representing approximately EUR 20.3 million as of 30 April 2015).

This transaction demonstrates the group's willingness to carry out both asset financings and corporate financings at Touax SCA holding's level, for the purpose of diversification and optimization.

This refinancing transaction together with the EUR 55 million Senior Secured Rail Facility financing (press release dated 29 June 2015) result in an average financing cost of 3.5%, in line with the group's average cost of debt as of 31 December 2014.

The nominal value per Bond has been set at EUR 18.00, representing an issue premium of 25% over the Company's reference share price  on the regulated market of Euronext in Paris (« Euronext Paris »). Following the full exercise of the extension clause, the total issue size has been increased to EUR 22 999 986 corresponding to 1 277 777 Bonds.