Business
Proposed placing of new ordinary shares
Proposed placing of new ordinary shares.
About this update from Astrazeneca Plc
[{"type":"text","content":"\n \nRNS Number : 4056U AstraZeneca PLC 29 March 2019 \n\n28 March 2019 23:35 GMT\n \nThis announcement contains inside information\n \nTHIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SOUTH AFRICA OR ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL\n \nTHIS ANNOUNCEMENT IS NOT AN OFFER OF SECURITIES IN THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SOUTH AFRICA OR ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL\n \nProposed placing of new ordinary shares\n \nAstraZeneca announces today its intention to raise up to approximately $3.5bn (the Placing Proceeds) through a placing of new ordinary shares in the Company (Placing Shares) with both existing and new institutional investors (the Placees) (the Placing).\n \nThe net proceeds of the proposed Placing are intended to be used: (i) to fund upfront and near-term payments in respect of the Company's global development and commercialisation collaboration agreement with Daiichi Sankyo Company Limited (Daiichi Sankyo) for trastuzumab deruxtecan (DS-8201) announced by the Company today (the Transaction); (ii) for the repayment of the Company's $1bn, 1.95% notes due on 18 September 2019; and (iii) for general corporate purposes, to improve the Company's overall balance-sheet strength and liquidity.\n \nThe net impact of the Transaction and the Placing is expected to be neutral to AstraZeneca's Core Earnings Per Share (EPS) in 2019, growing Core EPS accretion from 2020 to a significant contribution in 2023. AstraZeneca reconfirms its 2019 Product Sales and Core EPS guidance at constant exchange rates post-placing and transaction and confirms there is no change to the Company's progressive dividend policy.\n \nFurther details in respect of the Transaction were announced today and can be found on https://www.astrazeneca.com/investor-relations/stock-exchange-announcements.html. The Transaction will become effective on 29 March 2019. The Placing is not conditional on completion of the Transaction.\n \nBackground \nThe collaboration with Daiichi Sankyo is expected to reinforce AstraZeneca's science-led strategy in Oncology that is based on four key scientific platforms: tumour driver...