Qingdao Haier Co.,Ltd. / Key word(s): Miscellaneous
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Qingdao Haier Co., Ltd. Announces Convertible Bonds Offering
Qingdao / Shanghai / Frankfurt, 13 Dec 2018 - Qingdao Haier Co., Ltd. (SHA: 600690/ISIN: CNE1000031C1/WKN: A2JM2W, "Qingdao Haier" or "the Company"), announces today an offering (the "Offering") of RMB 3,007,490,000 convertible bonds (the "Bonds"). The Bonds will have a term of six years. The net proceeds of the Offering will be used to upgrade the intelligent manufacturing in the product line refrigeration and air conditioning, to increase the productivity for intelligent kitchen appliances, to expand the manufacturing base in overseas emerging markets and to enhance the innovation ability. The Bonds will be offered in a public offering in China, including to holders of A-Shares, which will receive preferential allocations. The Bonds are not offered in Germany.
The Bonds will be issued at par in denominations of RMB 100 and are expected to carry a coupon between 0.2% and 2% per annum, payable annually. The Bonds can be converted, initially, into up to 206,700,343 Haier ordinary shares listed on Shanghai Stock Exchange ("A-Shares"). A conversion into D-Shares is not possible. The initial conversion price is RMB 14.55; it is subject to certain adjustments in the event, inter alia, of capital measures and similar corporate actions. Bonds holders are entitled to convert the bonds to Haier shares at any time starting with the first trading day which is six months after the issuance of the Bonds, until 17 December 2024.
Within 5 trading days after the expiration of the Bonds, the Company will redeem the unconverted Bonds at the price of 105% of the par value of the bonds (which redemption price shall include the interest payment for the last interest period). Upon exercise of their conversion rights, Bonds holders will receive such number of Haier shares, as determined by the then prevailing conversion price.
The Company will have the option to redeem all or some of the outstanding Bonds at their principal amount plus accrued interest, (i) if the closing price of Haier shares for at least 15 trading days in any 30 successive trading days exceeds 120% (incl. 120%) of the then prevailing conversion price, or (ii) if the amount of the outstanding Bonds are less than RMB 30,000,000.
The Bonds holders will have a right to sell all (but not only some of) the Bonds held by them at their nominal amount plus accrued interest, if the actual use of the proceeds is materially different from the commitment made in the convertible bonds prospectus and such change is deemed as a change of the use of the proceeds by China Securities Regulatory Commission. Such call option can only be exercised in the specific period of time announced by the Company following the determination by the CSRC. In the last two interest-bearing years of the Bonds, if the closing price of the Company's A-shares is less than 70% of the then current conversion price in any 30 consecutive trading days, Bonds holder has the right to wholly or partly sell the Bonds back to the Company at the price of par value plus current accrued interest.
Application is expected to be made for the Bonds to be admitted for trading on the Shanghai Stock Exchange and further details thereof will be disclosed separately once determined.
For a more detailed description of the main terms of the Bonds, please see the Announcement in relation to the Public Offering in China of Corporate Convertible Bonds due 2024. http://www.haier.net/en/investor_relations/haier/gsgg/
China International Capital Corporation and Goldman Sachs Gao Hua Securities Company limited are acting as Co-Lead Manager on the Offering.
Yao Sun (Sophie)
Qingdao Haier Germany
T: +49 6172 9454 143
F: +49 6172 9454 42143
M: +49 160 9469 3601Email: email@example.com
|Company:||Qingdao Haier Co.,Ltd.|
|Haier Industrial Park, Laoshan District|
|Phone:||+86 532 8893 1670|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange|
|End of Announcement||DGAP News Service|