Citycon has continued the buybacks of its convertible capital bonds of 2006
Citycon Oyj has repurchased its subordinated convertible capital bonds issued on
2 August 2006 (the "Convertible Bonds") for an aggregate consideration of
approximately EUR 0.4 million including accrued interest through a deal executed
on 12 August 2010. The face value repurchased by the company amounted to EUR
0.5 million corresponding to 10 bonds with face value of EUR 50,000
corresponding to less than one per cent of the aggregate amount of the
Convertible Bonds due 2013.
Including the buybacks Citycon has concluded earlier, Citycon has repurchased a
total principal amount of EUR 38.75 million of the Convertible Bonds
corresponding to approximately 35.2 per cent of the aggregate amount of the
Convertible Bonds. The weighted average repurchase price has been 58.1 per cent
of the bonds' face value. The principal amount of the Convertible Bonds listed
on 22 August 2006 amounts to EUR 110 million and the Convertible Bonds carry an
interest at the rate of 4.50 per cent p.a. The Convertible Bonds were issued to
international institutional investors in deviation from the pre-emptive rights
of shareholders based on the authorisation of the company's Annual General
Meeting held on 14 March 2006.
The repurchases of the bonds have been executed in the open market in accordance
with section 7 (f) of the terms and conditions of the Convertible Bonds. In
accordance with the terms and conditions of the Convertible Bonds the company
will cancel the repurchased bonds. The repurchases have been carried out because
the market situation has enabled the company to repurchase the bonds at a price
below their face value and because the repurchases enable the company to
strengthen its balance sheet and decrease its net financial expenses.
Helsinki, 12 August 2010
CITYCON OYJ
Petri Olkinuora
CEO
For further information, please contact:
Eero Sihvonen, Executive VP and CFO
Tel +358 20 766 4459 or +358 50 557 9137
eero.sihvonen@citycon.fi
Distribution:
NASDAQ OMX Helsinki
Major media
www.citycon.com
[HUG#1437502]