ICI prices its £808m rights issue at 44% discount

04 February 2002 10:21  [Source: ICIS news]

LONDON (CNI)--ICI has discounted its approximately £808m ($1.14bn/Euro1.33bn) rights issue by 44%, it was disclosed on Monday.

The UK specialty chemicals producer said it will issue up to 463.3m new shares at £1.80 per share. This represents a 44% discount on the £3.24 closing price on Friday (1 February).

ICI shareholders will be offered seven new ICI shares for every 11 held and will raise approximately £808m ($1.14bn/Euro1.33bn) net of expenses.

Proceeds from the rights issue, which ICI said is fully underwritten by UBS Warburg, Goldman Sachs and Merrill Lynch, will be used to cut the company's £2.9bn debt. Shareholders will be asked to approve the rights issue at an extraordinary general meeting (EGM) scheduled for 25 February.

ICI provided details of the issue along with its 2001 results, which showed an 11% fall in pre-tax profits to £401m on flat turnover (from continuing operations) of £6.42bn.

Shares in ICI were trading virtually unchanged at £3.24 on the London Stock Exchange (LSE) at approximately 10:05 hours GMT today.

By: Anna Jagger
+1 713 525 2653

< previous article(VIDEO - ICIS news Europe Lunchtime Bulletin 3 November 2009)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly