Cicor Announces Details of Planned Mandatory Convertible Bond Issue

Reading time ( words)

Cicor Group announces the terms and conditions for a proposed five-year non-interest-bearing mandatory convertible bond (MCB) in the amount of up to around CHF 60 million, fully guaranteed by One Equity Partners (OEP).

At the Extraordinary General Meeting of Cicor Technologies Ltd, Boudry, held on December 16, 2021, the creation of conditional capital for the issuance of a mandatory convertible bond was approved. The Company now plans to issue the mandatory convertible bond according to the following terms and conditions: On January 3, 2022, existing shareholders will receive one preferential subscription right per existing share to subscribe for parts of the mandatory convertible bond, which can be traded on the SIX Swiss Exchange from January 3 to January 11, 2022. 51 preferential subscription rights entitle the holder to subscribe for one bond with a nominal value of CHF 1,000 until 12 noon on January 13, 2022.

OEP has committed to Cicor to firmly underwrite the mandatory convertible bond to the extent that the preferential subscription rights of the other shareholders are not exercised. OEP will already acquire a stake in the issued mandatory convertible bond corresponding to its shareholding upon completion of the offer, but at least such a stake that ensures that the nominal amount of the mandatory convertible bond will amount to at least CHF 20 million upon completion. The Board of Directors will decide on the remaining issuance of bonds up to the total issue amount of approximately CHF 60 million to OEP within the next 12 months, during which time OEP has committed to the takeover, depending on the financing needs of the Company. 

The net proceeds of the offering will increase Cicor's financial flexibility and strengthen its balance sheet in connection with future acquisitions.


Suggested Items

I-Connect007 Editor’s Choice: Five Must-Reads for the Week

01/21/2022 | Nolan Johnson, I-Connect007
Next week, we’ll be in San Diego. In fact, I fly down tomorrow morning to start preparations, along with most of the I-Connect007 team. The weather forecast says to expect sunny, with the occasional cloud, all week, with daytime temperatures around 70 degrees. That’ll be nice, as I’m sure COVID-related social distancing guidelines will encourage us to socialize outside as much as is feasible.

I-Connect007 Editor’s Choice: Five Must-Reads for the Week

01/14/2022 | Andy Shaughnessy, I-Connect007
We’re driving headlong into 2022, and there’s a lot going on in the world of PCB design, fabrication, and assembly. It’s trade show season now. IPC APEX EXPO starts in less than two weeks, and we’re all getting ready for what is, for many, the first trade show in years. Do you know where you put your business cards after your last show in 2020? I keep half a box of biz cards in my glove compartment; I’m not going to make that mistake again.

I-Connect007 Editor’s Choice: Five Must-Reads for the Week

01/07/2022 | Nolan Johnson, I-Connect007
No matter how you look at it, we’re already off to a roaring start in 2022. Here on the West Coast of the U.S., heavy and persistent rains are doing what they can to fix years of drought through the southwest United States. The eastern seaboard is seeing plenty of rainy weather as well. As they say on the salt containers: When it rains, it pours. That adage is rather true in the news of the industry this week. Therefore, my must-reads include a celebration of longevity in business, the launch of our next space telescope, and the sale of equipment for the printing of electronics. On a more circumspect note, we also bring you the IPC’s report on rising material and labor costs, and an article on cybersecurity.

Copyright © 2022 I-Connect007. All rights reserved.