AMS Osram - comment

Following the successful upsized raising of new High Yield bonds last week, AMS have today launched their 11 for 4 rights issue at CHF1.07 (66% discount to Friday’s closing). The prospectus was published this morning, with the exercise period ending on the 8th of December. The rights issue is fully underwritten and therefore we expect no issues in raising the additional €800m of equity. 

With the rights issue expected to close on 8th December, the (old) existing bonds will be taken out before Christmas, as previously advised.