The family Benetton reduce the exposure in Pirelli, of which he currently holds 4,7%. Schematrentaquattro, a wholly owned subsidiary of Edizione (the Benetton holding company) has announced that today it will begin an offer of unsecured exchangeable bonds in Pirelli ordinary shares for 200 million euros, guaranteed directly and unconditionally by Edizione.
If all bonds are converted, only 1,6% of the Pirelli shares will remain in the hands of the Benetton family. The move was to be taken into account after the recent dissolution of the pact that controlled Pirelli. Among other things, according to the experts, it cannot be excluded that other shareholders who hold a total of 10% of the capital, namely Mediobanca, Generali and Unipol, may also opt for a solution of this type.
Benetton's offer, reads a note, is aimed exclusively at qualified Italian and foreign investors. The bonds will be issued at 100% of their nominal value in the denomination of 100 thousand euros for each bond and, unless they have been previously converted, redeemed or cancelled, the bonds will be redeemed at par on 29 November 2016.
The bonds will be fixed rate, with an annual coupon of between 0.25% and 0.75%, payable annually in arrears on November 29 of each year. The initial conversion price of the bonds will be set at a premium between 25% and 30% of the weighted average price for the volumes of the shares recorded on the Italian Stock Exchange in the period between the launch and the determination of the final terms of the emission. The settlement date of the bonds is scheduled for November 29.
Despite the news of the sale, the Pirelli stock gained 0,36% by mid-morning.
