Business
Placing and Open Offer and Fi
Placing and Open Offer and Fi.
About this update from Premier Foods Plc
[{"type":"text","content":"\n RNS Number : 3561O Premier Foods plc 05 March 2009 \n \n\nPremier Foods plc ('Premier')\n\n5 March 2009\n\nNOT FOR DISTRIBUTION OR TRANSMISSION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, JAPAN, AUSTRALIA OR THE REPUBLIC OF SOUTH AFRICA\n \nPREMIER FOODS PLC\n\nPLACING AND OPEN OFFER AND FIRM PLACING TO RAISE\nAPPROXIMATELY £404 MILLION GROSS PROCEEDS\n(APPROXIMATELY £379 MILLION NET OF EXPENSES)\n\nThe Board of Directors of Premier Foods plc ('Premier', or the 'Company') today announces a Placing and Open Offer and a Firm Placing to raise approximately £379 million (net of expenses related to the equity financing) through the issue of 1,553,416,776 New Ordinary Shares at an Issue Price of 26 pence per New Ordinary Share (which represents a 9 per cent. discount to the Closing Price on the London Stock Exchange of 28.5 pence per Ordinary Share on 4 March 2009). 1,055,756,006 New Ordinary Shares will be issued through the Placing and Open Offer and 497,660,770 New Ordinary Shares will be issued through the Firm Placing.\n\nIn addition, the Board today announces proposed amendments to the terms of the Company's bank facilities and an agreement in principle with the Trustees of the Company's UK Defined Benefit Pension Plans. \n\nA circular containing details of the Placing and Open Offer and the Firm Placing, the amendments to the bank facilities and details of the Pensions Agreement is expected to be posted to shareholders shortly and will be available on the Company's website, www.premierfoods.co.uk.\n\nHighlights of the transactions: \n\n\n\nPlacing and Open Offer and Firm Placing to raise proceeds of approximately £379 million (net of expenses related to the equity financing) which results in reduced financial indebtedness for the Company;\n\n\nRenegotiated agreement between Premier and its lending banks, which is conditional upon the completion of the Placing and Open Offer and the Firm Placing, and which provides the Company with increased covenant and liquidity he...