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Citycon Oyj (HEL:CTY1S) CITYCON OYJ Stock exchange release 4 November 2008 at 14.10 hrs
Citycon Oyj has between 28 October 2008 and 4 November 2008 repurchased its subordinated convertible bonds issued on 2 August 2006 (the "Convertible Bonds") for an aggregate consideration of EUR 5.5 million including accrued interest. The weighted average repurchase price was 53.5 per cent of the Convertible Bonds' face value. The face value repurchased by the company amounted to EUR 10 million corresponding to 200 bonds with face value of EUR 50,000 corresponding to approximately 9 per cent of the aggregate amount of the Convertible Bonds due 2013. 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 authorization of the company's Annual General Meeting held on 14 March 2006.
The repurchase of the bonds was 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 Bond the company will cancel the repurchased bonds. The repurchase was carried out because the market situation has enabled the company to repurchase the bonds at a price clearly below their face value and because the repurchase enables the company to strengthen its balance sheet and decrease its net financial expenses.
Helsinki, 4 November 2008
CITYCON OYJ Petri Olkinuora CEO
For further information, please contact: Eero Sihvonen, CFO Tel. +358 20 766 4459 or mobile +358 50 557 9137 eero.sihvonen@citycon.fi
Distribution: NASDAQ OMX Helsinki Major media www.citycon.com
This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.
