7th May 2014 14:29
LONDON (Alliance News) - Babcock International Group PLC Wednesday said the GBP1.10 billion rights issue it launched to finance the acquisition of helicopter company Avincis Group had a 96.62% acceptance rate among shareholders.
In a statement, Babcock said it received acceptances for 134.6 million new shares under the five for 13 rights issue.
The results of the rights issue come after Babcock said towards the end of March that it would buy Avincis from Investindustrial and Kohlberg Kravis Roberts & Co for GBP920.0 million in cash. Babcock will also assume GBP705.0 million in net debt under the deal.
Completion of the acquisition is expected to take place on May 16.
Underwriters JP Morgan Securities PLC, Jefferies International Ltd, Barclays Bank PLC and HSBC Bank PLC found subscribers for the remaining 4.7 million new shares not validly taken up in the rights issue and the 5.9 million new shares representing fractional entitlements, together representing 3.4% of the new shares at 1,200 pence each.
Babcock shares were Wednesday quoted at 1,219.00 pence, up 0.3%.
By Samuel Agini; [email protected]; @samuelagini
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