CEMEX, S.A.B. de C.V. (“CEMEX”) (NYSE: CX) announced today that as a
result of the application of retained earnings for a capital increase
approved by CEMEX’s shareholders at the annual general ordinary
shareholders meeting held on March 31, 2016, CEMEX shareholders will
receive new shares as follows:
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1 new CEMEX Ordinary Participation Certificate (“CPO”) per 25 CEMEX
CPOs held, or, if applicable, 3 new shares per 75 shares currently
outstanding.
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Holders of CEMEX American Depositary Shares (“ADS”) will receive 1
newly issued ADS per 25 ADSs held.
-
No cash will be distributed by CEMEX, including for fractions for
which no shares are issued.
The delivery of the new CPOs or shares, as applicable, will be made
starting on May 4, 2016. Only holders of record of CEMEX CPOs or ADSs as
of May 3, 2016 (the record date) will receive new shares as a result of
the increase in the capital stock. The new ADSs to be issued will be
distributed on or about May 10, 2016. Each ADS represents 10 CPOs.
As a result of all of the above, the conversion rate of CEMEX’s optional
convertible subordinated notes due 2018 (the “2018 Convertible Notes”),
both series of CEMEX’s optional convertible subordinated notes due 2020
(the “2020 Convertible Notes”), as well as CEMEX’s mandatory convertible
obligations due 2019 (the “2019 Convertible Notes”) will be adjusted
accordingly. The new conversion rate for the 2018 Convertible Notes will
be 112.1339 ADSs per U.S.$1,000 principal amount of 2018 Convertible
Notes, equivalent to a conversion price of approximately U.S.$8.9179 per
ADS. The new conversion rate for the 2020 Convertible Notes will be
87.3646 ADSs per U.S.$1,000 principal amount of 2020 Convertible Notes,
equivalent to a conversion price of approximately U.S.$11.4463 per ADS.
The new conversion rate for the 2019 Convertible Notes will be 489.5266
CPOs per each convertible obligation, equivalent to a conversion price
of approximately MXN$18.1808 per CPO.
The subscription price is MXN$12.9390 per new CEMEX CPO. The shares will
be subscribed for at a price of MXN$4.3130 per share, of which
MXN$0.00277661 will go to CEMEX´s capital stock and the remaining amount
will be treated as premium for the subscription of capital, and will be
deemed fully paid by a capitalization of retained earnings. CEMEX
shareholders will not be required to pay any consideration in connection
with the issuance of the shares.
In accordance with applicable tax laws, the previously mentioned
capitalization is not subject to a withholding of income taxes by CEMEX
as the capitalization is being charged against retained earnings
corresponding to the 2013 and prior fiscal years.
This press release contains forward-looking statements and
information that are necessarily subject to risks, uncertainties, and
assumptions. CEMEX assumes no obligation to update or correct the
information contained in this press release.
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