Details are arriving on the imminent 400 million euro capital increase by Ubi Banca to keep the Cet1 at a level above 11% as part of the purchase of the three Good Banks which ended on 10 May.
Based on the provisions, the recapitalization will take place at a price of 2,395 for each new share with a discount of 26,1% on the theoretical ex-rights price (TERP). The conditions are announced by the same institute led by Victor Massiah.
The option rights will be exercisable from 12 to 27 June and negotiable until 21. The option rights not exercised within this period will be offered on the same MTA.
In particular, the transaction provides for the issue of a maximum of 167.006.712 Ubi Banca ordinary shares, with no expressed par value, having the same characteristics as the already outstanding ordinary Ubi Banca shares and with regular entitlement, to be offered as an option to shareholders having right in the ratio of 6 newly issued shares for every 35 shares held, at the subscription price of 2,395 for each new share, to be charged entirely to the share capital.
The value of the option offer will therefore be equal to a maximum of 399.981.075 euros.
The capital increase will be handled by Credit Suisse and Morgan Stanley, who will act respectively as Joint Global Coordinator and Joint Bookrunner. With the two investment banks, Ubi has entered into a guarantee agreement for the subscription of any newly issued shares that have remained unopted. The recapitalization was launched to keep the Cet1 at a level above 11%, in the light of the acquisition of the three Good Banks (Banca Marche, Banca Etruria and Carichieti) completed on 10 May.
