Telefónica ‘buys’ Prisa’s bonuses -
Telefónica ‘buys’ Prisa’s bonuses
Iñaki Ferreras | 09-07-2012
Telefónica and a group of creditor banks have signed for bonds in Prisa convertible into shares of the company amounting to €434 million, as reported to the National Securities Market Commission (CNMV).
The bonds, mandatorily convertible into ordinary shares of Prisa over a period of two years, have been signed by Santander, amounting to €100 million; La Caixa, amounting to €100 million; and HSBC, amounting to €134 million.
The General Meeting of Shareholders of Prisa approved the entry into the capital of the group of creditor banks and Telefónica by subscribing to convertible bonds. With this operation, the group plans to reduce its net debt by €650 million over two years, explained Deputy CEO and CFO of Prisa, Fernando Abril.
Meanwhile, Telefónica has signed bonds worth €100 million by contribution in cash. Prisa revealed that the issuance of the bonds will close on 13 July.