EQS-Adhoc

GN Store Nord A/S: GN Store Nord announces intention to initiate a rights issue

EQS-Ad-hoc: GN Store Nord A/S / Key word(s): Capital Increase GN Store Nord A/S: GN Store Nord announces intention to initiate a rights issue 08-Feb-2023 / 20:50 CET/CEST Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES OF AMERICA, CANADA, AUSTRALIA, JAPAN OR ANY OTHER JURISDICTION WHERE THE DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL

This announcement does not constitute an offering memorandum or a prospectus as defined by Regulation (EU) No. 2017/1129 of 14 June 2017. The offer to acquire securities pursuant to the offering is made, and any investor should make their investment decision, solely on the basis of information that is contained in the prospectus to be made generally available in Denmark in connection with the offering.

 

GN Store Nord announces intention to initiate a rights issue

 

In accordance with our announcement on November 11, 2022, GN has conducted a comprehensive review of the appropriate capital structure.

 

In light of the current macroeconomic environment and GN’s leverage, GN announces today that it intends to raise gross proceeds of DKK 7 billion in the first half of 2023 through the issuance of new shares with pre-emptive rights for GN’s shareholders (the “Rights Offering”).

 

Proceeds from the Rights Offering will be used to strengthen GN’s balance sheet and provide appropriate financial flexibility.

 

With these actions we are confirming our commitment to the capital structure policy with a target of 1-2x NIBD/EBITDA, which we plan to reach in the short term.

 

GN has entered into a standby underwriting letter with J.P. Morgan, Nordea and BNP PARIBAS and, as such, the Rights Offering is, subject to certain customary conditions, fully underwritten with these banks to act as Joint Global Coordinators (“JGCs”) and Joint Bookrunners. SEB is also expected to join the JGCs in underwriting the Rights Offering as a Joint Bookrunner (SEB, together with the JGCs, the “Banks”). In connection with the Annual General Meeting on March 15, 2023, GN’s Board of Directors plan to seek authorization to increase the share capital with pre-emptive rights for the existing shareholders.