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[October 2007]
Successful Capital Increase for Wienerberger
Wienerberger AG (Vienna, Austria) announced on 9 October 2007 that it had successfully completed its capital increase, placing a total volume of 9,779,893 new shares. After the expiration of the subscription and offer period as well as the completion of the bookbuilding process, the final subscription and offer price was set at €45 per new share, very close to the average price of the Wienerberger share since the launch of the rights issue on 21 September 2007. Wienerberger said it would generate gross proceeds of approximately €440 million or net proceeds after costs and taxes of roughly €424 million, which it would use to continue its profitable and value enhancing growth strategy. The payment and delivery (closing/settlement) of the new shares was expected to take place on 11 October 2007.
At the subscription and offer price existing shareholders exercised approximately 40% of their subscription rights. In cooperation with the consortium banks, the remaining shares not subscribed by existing shareholders were broadly placed among Austrian and international investors. Due to the strong interest, the new shares were nearly three-times subscribed. The orders of Austrian retail investors were fully allocated.
As a result of the capital increase, the company's equity capital increased from €74.2 million to €83.9 million, while the company's market capitalisation rises to approximately €4 billion. The new shares were expected to commence trading on the Vienna Stock Exchange on 10 October 2007 and are fully entitled to dividends for the business year 2007.
"We are very pleased with the placing of our new shares. Despite the challenging environment on global stock markets during the recent two weeks, the share price developed well towards the end of the bookbuilding period. Thus, we were able to set the final subscription and offer price at €45 per new share, very close to the level of the average share price since the announcement of the rights issue on September 21, 2007,” commented Wolfgang Reithofer, Wienerberger’s CEO. “This is a clear signal for the strong interest of investors in the Wienerberger share. The proceeds from the offering will be used to strengthen our equity base to continue Wienerberger's dynamic expansion track while maintaining its investment grade ratings. The implementation of selected strategic acquisitions and projects from our full pipeline – especially in the Eastern European growth markets – will promote further profitable growth. This will help us to create above-average value for our existing and new shareholders."
Wienerberger is the world's biggest producer of bricks and the second largest producer of clay roof tiles in Europe. The company also holds leading positions with pavers in Europe and operates a total of 253 production sites in 26 countries. In 2006, Wienerberger generated revenues of €2.225 billion and EBITDA of €472 million.
ENDS