The Prisa Group has managed to complete more than 80% of the capital increase through the issuance of 130 million euros in convertible bonds in the first phase of the operation, which is reserved for the current shareholders of the company, led by the fund Amber Capital, Vivendi, Global Alconaba and, finally, with the support of the Polanco family and another of the main partners of the group. Market sources assure that this initial acceptance of the launched offer will probably ensure the final success of the expansion, so that the media consortium can pay off part of its debt with a much lower interest rate than the current one.
To complete the process, a second phase of four days is now open in which the requests to expand their investment will be resolved for the partners of the company who have initially covered the part corresponding to their capital. Groups such as the French Vivendi have already shown on occasion their interest in reaching a higher level of capital in the Spanish media company, so it is not ruled out that it could be strengthened, although for the moment it is only with the bonds convertible into shares. .
Once the distribution to the shareholders who requested a greater participation in their capital quota has been resolved, a third period of four business days on the market opens so that the rest of the investors who wish to do so can obtain the Prisa bonds, which They are paid with a 1% coupon, although a more residual part of the operation may remain for this.
7.6% of the capital that they still have in the group, has been an important step to clear up all the doubts that arose from the issuance, which until now was only seconded by the other three majority shareholders, who have control of the management and with whom that the relationship with the polancos is not going through its best moments.
clean up the debt
The issuance of the hybrid debt has the objective of repaying in advance a loan of 190 million referenced to the 3-month Euribor, plus 8 points of spread, which has experienced a notable increase in its cost in the new monetary policy cycle. JB Capital Markets and Société Générale are coordinating the convertible bond issue, whose subscription period expires today. According to the terms of the operation, for every 2,104 rights, 1 bond may be subscribed and each of them equivalent to 1,000 new shares at the time of conversion.
The bonds will be mandatorily convertible five years after issuance and will pay a 1% annual coupon. However, their owners may make early conversions at their discretion, although within the time windows set by the company when the operation closes.
In addition to Amber (29.6%), Vivendi (9.9%), Global Alconaba (7%) and Rucandio (7.6%), the rest of Prisa’s shareholders are made up of Banco Santander (4%), the Qatari Sheikh Khalid bin Thani bin Abdullah Al Thani and the Mexican businessmen Carlos Slim (4.3%), Roberto Alcántara Rojas (4.8%) and Carlos Fernández (4%). The ‘hedge fund’ Melqart (2.2%), which has just joined Indra, is also among minority shareholders. On Friday, February 3, the capital disbursement by the shareholders and the registration of the bonds in the registers of Iberclear (BME/Six) are scheduled, since they will be listed on the AIAF fixed-income market.