16th Sep 2015 06:26
LONDON (Alliance News) - Glencore PLC on Wednesday said it has raised USD2.50 billion after placing shares with institutional investors and the company's own senior management.
The FTSE-100 listed multi-commodity miner and trader had late Tuesday announced its intention to raise USD2.50 billion, or USD1.60 billion through the placing of 1.31 billion shares. On Wednesday, Glencore confirmed the price per share was 125.0 pence.
Shares in Glencore closed up 0.1% at 128.05 pence on Tuesday.
The equity fundraising plan was first revealed just over one week ago as part of a plan that also included suspension of its final dividend for 2015 and interim dividend for 2016. The move was welcomed by investors, as concern had mounted about Glencore's USD30.0 billion debt pile.
The commodities company said 78% of the new shares were allocated through an accelerated bookbuild placing, with the remaining 22% subscribed for by senior managers at Glencore, including Chief Executive Ivan Glasenberg.
Glasenberg purchased 110.1 million shares to hold a total of 1.21 billion Glencore shares, representing a 8.42% stake in the company.
Telis Mistakidis, director of Glencore's copper business purchased 41.4 million shares to hold a total of 456.2 million shares, representing a 3.17% stake and Daniel Mate, co-director of the same division bought 42.2 million shares to hold a total of 464.1 million shares, representing a 3.22% stake in the business.
Citigroup Global Markets Ltd and Morgan Stanley & Co International PLC were the joint bookrunners on the placing, with Barclays Bank PLC named as a co-bookrunner.
By Joshua Warner; [email protected]; @JoshAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
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