Linklaters advises Salzgitter AG on the successful placement of EUR 500 million bonds exchangable for shares of Aurubis AG

Linklaters has advised Salzgitter AG on the successful placing of its senior unsecured bonds in an aggregate principal amount of EUR 500 million. The bonds are due 2032, bear a coupon of 3.375% per annum and are exchangeable for existing ordinary bearer shares of Aurubis AG.

The proceeds will be used for general business purposes, further SALCOS stage one expenditure and restructuring measures. The bonds are also issued to diversify the structure and tenor of the financing of the group.

For the purpose of facilitating hedging activities of certain subscribers of the bonds or any further acquirers of the bonds, Salzgitter also entered into a stock lending arrangement with respect of up to 2,000,000 Aurubis shares.

The Linklaters team was led by Alexander Schlee (Partner, Capital Markets, Frankfurt). Other team members were Deepak Sitlani (Partner, Capital Markets, London), Will Cresswell (Counsel, Capital Markets, Frankfurt), Adjoa Abekah-Mensah (Managing Associate, Capital Markets, London), Catrin Retzmann and Tabea Meißner (both Associates, Capital Markets, Frankfurt).

Linklaters regularly advises companies and investment banks on the placement of exchangeable bonds and convertible bonds. Over the past 12 months, the Capital Markets team led by Alexander Schlee advised, among others, LEG Immobilien SE, QIAGEN N.V., TAG Immobilien AG and Vonovia SE on the issuance of convertible bonds, as well as the banking syndicate on the placement of convertible bonds by Deutsche Lufthansa AG and RedCare Pharmacy N.V.