Kotkamills Group Oyj: SUBSCRIPTION OF NEW SHARES BY EXISTING SHAREHOLDERS AND CERTAIN KEY EMPLOYEES AND UTILISATION OF NEW SHAREHOLDER LOANS
Kotkamills Group Oyj
STOCK EXCHANGE RELEASE
24 February 2017, at 5 pm (CET + 1)
The shareholders of Kotkamills Group Oyj unanimously resolved on 16 February 2017 on a directed issue of a maximum of 1,875,417 new series A shares (the "New A Shares") of the company for subscription to the holders of series A shares pro rata to their holding of series A shares, a maximum of 63,125 series B shares held by the company (the "Treasury Shares") for subscription to certain key employees of the Kotkamills group and a maximum of 203,885 new series B shares (the "New B Shares" and together with the New A Shares, the "New Shares") of the company for subscription to the holders of series B shares pro rata to their holding of series B shares, taking into account the Treasury Shares offered for subscription.
The subscription period expired on 22 February 2017. The holders of series A shares subscribed the maximum amount of 1,875,417 New A Shares offered for subscription in the directed share issue and the holders of series B shares subscribed the maximum amount of 63,125 Treasury Shares and 189,860 of the in total 203,885 New B Shares offered for subscription in the directed issue. The subscribed New Shares represent in aggregate approximately 17.90 per cent of the total number of shares in the company.
The subscription price for each New Share and each Treasury Share is EUR 1.00 and the aggregate subscription price for the New Shares and the Treasury Shares is EUR 2,128,402. Pursuant to the terms of the share issue of the New A Shares, the holders of series A shares granted in connection with their participation in the share issue shareholder loans to the company in the aggregate amount of EUR 17,920,698. The terms of the shareholder loans are in material respects equivalent to the terms of the existing shareholder loans.
The purpose of the share issue and the utilisation of the shareholder loans is to ensure full utilization of the commercial ramp-up of the new board machine. As a result of the share issue and the utilisation of the new shareholder loans, Kotkamills Group Oyj will obtain financing in the aggregate amount of EUR 20,049,100.
After the share issue has been recorded in the Finnish Trade Register, the total number of shares issued by the company will be 13,602,806, of which 12,281,694 will constitute series A shares, representing approximately 90.29 per cent of the total number of the shares in the company, and 1,321,112 will constitute series B shares, representing approximately 9.71 per cent of the total number of the shares in the company. The entire subscription price of EUR 2,128,402 will be entered in the company's reserve for invested unrestricted equity.
Kotkamills Group Oyj
Board of Directors
For additional information, please contact:
CFO Petri Hirvonen, tel.+358 40 571 0834, firstname.lastname@example.org
Nasdaq Helsinki Ltd
Kotkamills Group in brief
Kotkamills is a responsible partner that delivers renewable products and performance to its customers' processes via product innovations created from wood, a renewable raw material. The key brands of the company include Absorbex® and Imprex®, both innovative laminating paper products for the laminate, plywood and construction industries. Moreover, Kotkamills offers ecological, technically sound and visually attractive wood products for demanding joinery and construction. In summer 2016, Kotkamills started up a new board machine producing AEGLE(TM) Folding Boxboard and ISLA(TM) Food Service Boards, including the capability to add barriers on-machine. All Consumer Boards material solutions are fully recyclable and repulpable.
Kotkamills has two production sites in Finland, located in Kotka and Imatra. The majority shareholder of Kotkamills is MB Funds, a Finnish private equity firm.
The information contained in this release shall not constitute an offer to sell or the solicitation of an offer to buy securities of Kotkamills Group Oyj in any jurisdiction.