SIKA AG LAUNCHES OFFERING OF UP TO CHF 1,300 MILLION SUBORDINATED MANDATORY CONVERTIBLE NOTES DUE 2022

Sika AG / SIKA AG LAUNCHES OFFERING OF UP TO CHF 1,300 MILLION SUBORDINATED MANDATORY CONVERTIBLE NOTES DUE 2022 . Processed and transmitted by West Corporation. The issuer is solely responsible for the content of this announcement.

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Sika AG ("Sika") announces the launch of an offering (the "Offering") of up to CHF 1,300 million subordinated mandatory convertible notes due 2022 (the "Notes"). Sika intends to use the net proceeds from the Offering to fund the recently announced acquisition of Parex and for general corporate purposes.

The Notes will be mandatorily converted into new or existing registered shares of Sika at maturity, subject to the early conversion rights of Sika and noteholders in accordance with the terms and conditions of the Notes.

The Notes will be issued at 100% of their principal amount in denominations of CHF 200,000. The Notes are expected to carry interest of between 3.75% and 4.00% per annum payable annually in arrears. The Notes are expected to have a minimum conversion price equal to the reference share price and a maximum conversion price set at a premium of between 12.5% and 15.0% over the reference share price. The reference share price is expected to be equal to the share price determined in a concurrent placement of existing shares from hedging transactions of individual mandatory convertible notes investors. The Notes will be subordinated obligations of Sika, as described in the terms and conditions of the Notes.

Sika may, at its sole discretion, elect to defer (in whole or in part) any payment of interest on the Notes. Arrears of interest may be satisfied at the option of Sika, in whole or in part, at any time, or mandatorily upon the occurrence of certain events, as described in the terms and conditions of the Notes.

Sika will announce the final terms of the Offering, including the coupon, maximum conversion price, reference share price and issue size after completion of an accelerated bookbuilding process, which is expected to be finalized before opening of business on January 23, 2019.

The Offering consists of a public offering in Switzerland and private placements of Notes to professional investors only in other jurisdictions. The Notes will be offered to investors outside the United States in compliance with Regulation S under the US Securities Act of 1933, and otherwise in accordance with applicable securities laws, rules and regulations.