The National Securities Market Commission (CNMV) has announced the suspension of listing of Deoleo’s securities from next May 25. The company has fallen sharply on the stock market (-32%) this Friday.
This suspension of listing occurs within the framework of the ‘accordion operation’ that the company is carrying out. This operation consists in reducing the company’s capital stock to zero and in a simultaneous expansion of up to 50 million euros with pre-emptive subscription rights for shareholders.
For the execution of this operation, Deoleo will issue 500,000,004 new shares at a subscription price of 0.1 euros per share. Each share currently in circulation will grant a preferential subscription right and 59 rights will be necessary to subscribe 21 new titles.
As of May 25, trading of the company’s current shares is suspended and May 26 begins the subscription period for the capital increase, which runs until June 9. Subsequently, there are several rounds in which these shares will be awarded. On June 24 the accordion operation will be registered in the register and on June 25 the new shares will begin trading.
In order to facilitate the equation of exchange of the capital increase, the majority shareholder of the company, Ole Investments, CVC’s investment vehicle, has renounced the exercise of 96,253 pre-emptive subscription rights, and, if necessary, undertakes to subscribe those new titles that have not been subscribed, up to an amount of 40 million euros.