EDF EN prices $726 mln rights issue at €32.20
Utility EDF Energies Nouvelles launched a €500-million ($725.9 million) rights issue to finance its expansion into solar energy at a price of €32.20 per new share.
The rights issue represents a discount of 28% to the company's closing stock market price of €44.68 on Wednesday. Shareholders will be able to subscribe for 1 new share for every 4 existing.
“This capital increase will allow EDF Energies Nouvelles to step up the pace of growth in photovoltaic solar generation, which represents the group's second key development priority.” EDF EN Chairman Paris Mouratoglou said in a statement.
EDF Energies Nouvelles is a 50% owned subsidiary of the EDF Group, France's main electricity provider. The company's main shareholders have committed to subscribe to the capital increase, EDF EN said.
Investment banks Goldman Sachs and Societe Generale are managing the rights issue. (Reuters)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.