Successful completion of Michelin’s €1.2 billion rights offering
Clermont-Ferrand, 21 October 2010 – The share capital increase with preferential subscription rights launched by Michelin on 28 September has concluded with final gross
proceeds amounting to €1,222,194,420, corresponding to the issue of 27,159,876 new shares.
26,510,230 new shares were subscribed by irrevocable entitlement (à titre irréductible), representing approximately 98 % of the total number of new shares, while 68,449,577 new shares were requested on a basis subject to reduction (à titre réductible), and will, as a result, only be satisfied in part, in the amount of 649,646 new shares.
The proceeds from the capital increase will be used principally to:
- finance the acceleration of Michelin’s growth, as from 2011, including increased annual capital expenditure which will reach €1.6 billion;
- enhance the Company’s credit rating and its access to financing; and
- generally reinforce the Company’s financial flexibility.
Settlement and delivery of the new shares will take place on 25 October 2010. The listing of the new shares on the regulated market of NYSE Euronext in Paris (Segment A) on the same quotation line as the existing shares (FR0000121261) will take place on 25 October 2010.
This press release and the information it contains do not constitute an offer to sell or subscribe or a solicitation to buy or subscribe securities issued by Michelin in the United States or in any other jurisdiction.
No communication or information relating to Michelin’s share capital increase with preferential subscription rights may be distributed to the public in any jurisdiction in which registration or approval is required. No action has been undertaken to make an offer to the public of Michelin’s new shares or preferential subscription rights in any jurisdiction outside of France, Germany, Italy, Poland, Romania, Spain, Switzerland or the United Kingdom where such steps would be required.
The issue, the exercise or the sale of preferential subscription rights and the subscription for or purchase of new shares or preferential subscription rights may be subject to legal or statutory restrictions in certain jurisdictions. Michelin assumes no responsibility for any violation of such restrictions by any person.
This press release is not a prospectus which has been approved by the Financial Services Authority or any other United Kingdom regulatory authority for the purposes of Section 85 of the Financial Services and Markets Act 2000.
The preferential subscription rights and the new shares mentioned in this press release have not been and will not be registered under the US Securities Act of 1933 and may not be offered or sold in the United States without registration or an exemption from registration under the US Securities Act of 1933. This press release is issued pursuant to Rule 135(c) of the Securities Act of 1933, as amended.