Finnish nickel producer Talvivaara has raised about €261 million ($342 million) through a rights issue, the company said on Monday April 15. 

The rights offering was oversubscribed, it added, taking into account the subscriptions received without subscription rights in the secondary round; the total number of shares in Talvivaara will increase to 1,906,167,480.

Because of oversubscription, furthermore, the company did not use the underwriting provided by JP Morgan Securities, Nordea Bank Finland, B of A Merrill Lynch, BNP Paribas and the Helsinki branch of Danske Bank.

The board of directors of Talvivaara approved all subscriptions made under the rights offer on Monday.

The subscription price was €0.16 per offer share and the offer shares will carry the right to receive dividends and other distributions of funds, as well as other shareholder rights in Talvivaara.

JP Morgan Securities and Nordea Bank Finland plc acted as joint global co-ordinators for the rights offering.

B of A Merrill Lynch, BNP Paribas and Danske Bank, Helsinki Branch acted as joint book-runners, alongside the joint global co-ordinators.

Because the rights offering was subscribed in full, the board of directors at Talvivaara has been able to confirm the adjustments made to the conversion price of the convertible bonds due in 2013 and 2015.

The new conversion prices will be £1.59 ($2.44) and £1.90, respectively. The board also confirmed that the maximum number of shares that can be subscribed for under the convertible bonds due 2013 has increased to 38,537,673, and the maximum for the bonds due 2015 is up to 98,617,935 shares.

Claire Hack
Twitter: @clairehack_mb