17 May 2011 10:45 [Source: ICIS news]
LONDON (ICIS)--OMV plans to raise up to €900m ($1.3bn) in fresh capital from a share sale to finance its expansion into Turkey and Tunisia, the Austrian oil, gas and petrochemicals group said on Tuesday.
Existing shareholders will be offered one new share for every 11 held with a maximum of 27.3m new shares to be sold, which will be equivalent to 9.1% of all shares issued by the group, the company added.
OMV has been examining its options for sourcing new capital since it paid €1bn to take over Turkish refined oil products marketing company Petrol Ofisi in October last year. It hopes to use the company to channel investments into refining, petrochemical and gas opportunities in Turkey.
The group intends to turn Turkey into its third integrated business hub, after Austria and Romania. OMV's investments in Tunisia are concentrated on exploration and production assets.
The new investments pushed OMV's debt gearing ratio to 47% at the end of March, from 29% a year earlier, according to investment bank Wood & Company.
The new shares will have a maximum price of €33, while the subscription period for the shares will run from 19 May to 6 June, OMV said.
New capital will also be raised from an issue of hybrid bonds, it added.
($1 = €0.70)
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