DGAP-Ad-hoc | 15 Jan, 2020 6:40 PM
Delivery Hero SE / Key word(s): Financing/Capital Increase
Public disclosure of inside information according to Article 17 para. 1 of the Regulation (EU) No 596/2014 on market abuse (Market Abuse Regulation - MAR)
Delivery Hero SE to issue convertible bonds and to launch cash capital increase
Berlin, January 15, 2020 - Delivery Hero SE ('Delivery Hero' or the 'Company', ISIN: DE000A2E4K43, Frankfurt Stock Exchange: DHER) concurrently launches the issue of convertible bonds and a capital increase against cash contribution. Delivery Hero is targeting gross proceeds from both instruments in an aggregate amount of up to EUR 2.1 billion.
Today, the management board of Delivery Hero, with approval of the supervisory board, resolved to issue two tranches ('Tranche A' and 'Tranche B') of senior, unsecured convertible bonds with an aggregate principal amount of at least EUR 1.5 billion (each of the tranches with a principal amount of at least EUR 750 million), maturing in January 2024 (Tranche A) and January 2027 (Tranche B) (the 'Convertible Bonds'). The Convertible Bonds will be convertible into newly issued or existing Delivery Hero registered shares with no par value. Shareholders' subscription rights will be excluded.
The Convertible Bonds will be issued at 100% of their nominal value with a denomination of EUR 100,000 each and - unless previously converted, repurchased or redeemed - will be redeemed at par at maturity. The Convertible Bonds will be offered with an annual interest rate between 0.00% and 0.25% (Tranche A) and between 0.50% and 1.00% (Tranche B) payable semi-annually, and a conversion premium for each of Tranche A and Tranche B of 40% to 45% above the reference price, being the placement price per Delivery Hero share in the concurrent capital increase.
The pricing of the offering of the Convertible Bonds will be determined on the basis of an accelerated bookbuilding. The Convertible Bonds are expected to be issued by Delivery Hero on or around January 23, 2020, and admission to trading on the non-regulated open market segment (Freiverkehr) of the Frankfurt Stock Exchange is expected shortly thereafter.
The Convertible Bonds will be offered solely to institutional investors in certain jurisdictions, outside the United States, via a private placement.
The Company will be entitled to redeem the Convertible Bonds at any time (i) on or after February 13, 2023 (Tranche A) and February 13, 2025 (Tranche B) if the stock exchange price per Delivery Hero share amounts to at least 130% (Tranche A) or 150% (Tranche B) of the then relevant conversion price over a certain period or (ii) if 15% or less of the aggregate principal amount of the relevant tranche of the Convertible Bonds remain outstanding.
Today, the management board of Delivery Hero, with approval of the supervisory board, further resolved on the Capital Increase and intends to issue up to 8,158,550 new ordinary registered shares with no-par value against cash contributions, which corresponds to up to approximately 4.30% of the current share capital (the 'Capital Increase'). The number of newly issued shares will be determined on the basis of the outcome of the placement of the Convertible Bonds ensuring that the Company achieves the targeted amount of gross proceeds from both instruments. The placement price per new share will be determined on the basis of an accelerated bookbuilding. The new shares will carry full dividend rights as of January 1, 2019.
The share placement will be launched with immediate effect, and the new shares will be solely offered to institutional investors.
The new shares shall be admitted to trading on the regulated market (regulierter Markt) without a prospectus and are expected to be included in the existing quotation for the Company's shares in the sub-segment of the regulated market with additional post-admission obligations (Prime Standard) on the Frankfurt Stock Exchange on or around January 21, 2020.
Use of Proceeds
The Company intends to use the proceeds from the issue of the Convertible Bonds and the Capital Increase to finance a portion of the cash component of the consideration for the purchased shares in Woowa Brothers Corp., as announced on December 13, 2019, and for general corporate purposes.
As part of the transactions, the Company has agreed to a lock-up period of 90 days, subject to customary exceptions.
This announcement may not be published, distributed or transmitted, directly or indirectly, in the United States of America (including its territories and possessions), Canada, Japan or Australia or any other jurisdiction where such announcement could be unlawful. The distribution of this announcement may be restricted by law in certain jurisdictions and persons who are in possession of this document or other information referred to herein should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.