Brief: Bang&Olufsen Expects 2019/20 Results In Low End Of Ranges

Bang & Olufsen A/S

12/05/2020 07:35

May 12 (Reuters) - Bang & Olufsen A/S  BO.CO :
    * REG-BANG & OLUFSEN TO SEEK SHAREHOLDER APPROVAL FOR
CAPITAL
INCREASE TO SAFEGUARD THE COMPANY THROUGH THE COVID-19 CRISIS
    * BOARD DECIDED TO CONVENE EGM WITH AIM TO SEEK APPROVAL
FROM
SHAREHOLDERS FOR FULLY UNDERWRITTEN RIGHTS ISSUE OF APPROX. DKK
400 MILLION (GROSS PROCEEDS)
    * PRELIMINARY GUIDANCE FOR 2020/21: REVENUE: APPROX. DKK 2.2
BILLION
    * PRELIMINARY GUIDANCE FOR 2020/21: EBIT BEFORE SPECIAL
ITEMS:
APPROX. DKK -100 MILLION
    * CARNEGIE INVESTMENT BANK AND NORDEA ACT AS JOINT GLOBAL
COORDINATORS AND FINANCIAL ADVISORS TO BANG & OLUFSEN IN
CONNECTION WITH RIGHTS ISSUE.
    * HAS ALREADY SECURED SUPPORT FROM A NUMBER OF INSTITUTIONAL
INVESTORS, INCLUDING OUR THREE LARGEST DANISH SHAREHOLDERS ATP,
CHR. AUGUSTINUS FABRIKKER, AND FÆRCHFONDEN
    * SAYS ENTERED INTO A COMMITMENT LETTER FOR A DKK 100
MILLION
COMMITTED CREDIT FACILITY WITH ITS MAIN BANK TO FURTHER
STRENGTHEN CAPITAL STRUCTURE
    * ESTIMATED REVENUE FOR FIRST 11 MONTHS OF FINANCIAL YEAR
DECLINED
BY 26% IN LOCAL CURRENCIES BASED ON REPORTED 9-MONTH FIGURES AS
WELL AS PRELIMINARY AND UNAUDITED FINANCIAL NUMBERS FOR MARCH
AMOUNTING TO DKK 102 MILLION AND APRIL AMOUNTING TO DKK 95
MILLION
    * OUTLOOK FOR 2019/2020: EBIT MARGIN BEFORE SPECIAL ITEMS IS
ESTIMATED TO BE -15%, WHILE FREE CASH FLOW IS ESTIMATED TO BE
DKK -182 MILLION
    * CEO SAYS NOW EXPECTS THAT ACTUAL 2019/20 RESULTS FOR
REVENUE AND
EBIT MARGIN BEFORE SPECIAL ITEMS IS MOST LIKELY TO BE IN LOW END
OF RANGES

Source text for Eikon:  ID:nGNE1yVlRg 
Further company coverage:  BO.CO 

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