SLM Solutions to raise $66 mln in Elliott-backed convertible bond

Nikon SLM Solutions AG

27/03/2020 13:43

FRANKFURT, March 27 (Reuters) - German 3D printing
specialist SLM Solutions  AM3D.DE , whose top shareholder is
activist fund Elliott  ECAL.UL , plans to raise 60 million euros
($66 million) in financing via a three-tranched convertible
bond, it said on Friday.
    The bond is fully backstopped by Elliott, which owns 28% in
SLM Solutions, and comes at a time when funding is getting tight
due to the coronavirus crisis.
    "In these uncertain times, we are very pleased that we have
the ability to raise substantial financing backed by the
confidence and support of our largest shareholder," Chief
Executive Meddah Hadjar said.
    "SLM's strengthened financial position will allow us to
continue to increase our leadership position in the additive
manufacturing market."
    Existing shareholders and existing convertible bond holders
will receive subscription rights for the first tranche of the
bond, SLM said. Holders of the first tranche will then have the
right to subscribe to the subsequent tranches, it added.
    The bond will be issued at 100% of its nominal value, will
have a coupon of 2% per year and a maturity of Sept. 30, 2026.
    ($1 = 0.9084 euros)

 (Reporting by Christoph Steitz; Editing by Mark Potter)
 ((christoph.steitz@thomsonreuters.com; +49 69 7565 1269;
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