Forbo Sets Subscription Price For Capital Increase

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Forbo Sets Subscription Price For Capital Increase
Eglisau, Switzerland—December 2-- Forbo Holding AG said Thursday the share subscription price in the upcoming capital hike will be CHF150 ($132.01) each, less than half of Wednesday's closing price of CHF316.50 ($276.42). Forbo plans a capital increase of about CHF200 million ($174,648,503) by issuing 1,356,576 new shares. The move needs shareholders' approval at an extraordinary meeting later Thursday. Each shareholder will be offered one new registered share for each share held. The new shares have been fully underwritten by a bank syndicate led by Credit Suisse First Boston. Subscription rights will be traded between Dec. 6 and Dec. 13. The first trading day of the new shares is set for Dec. 15. Forbo is being evaluated for a possible takeover by U.K. private equity company CVC Capital Partners Ltd. (CVC.YY). CVC Capital has recently expressed interest to acquire Forbo shares at a price between CHF350 ($305.25)and CHF370 ($322.65)per share. A previous offer of CHF330 was rejected by Forbo. Forbo said in mid-November that it would issue a recommendation to shareholders once a public takeover offer has been launched, seen Dec. 16 at the earliest.