Aurubis shares drop after Salzgitter sells €500 mln convertible bonds

Published 15/10/2025, 09:18
© Reuters.

Investing.com -- Shares of German copper producer Aurubis AG (ETR:NAFG) fell on Wednesday after its key shareholder Salzgitter AG (ETR:SZGG) sold €500 million ($581.70 million) worth of bonds that can be exchanged for 7.6% of Aurubis’s shares.

Salzgitter announced the successful placement of senior unsecured bonds due 2032 that are exchangeable for existing Aurubis shares. The bonds will be issued around October 22, 2025, with a maturity of seven years and will bear interest at a fixed rate of 3.375% per annum, payable semi-annually.

Aurubis shares fell about 6% at 0814 GMT. 

The initial exchange price was set at €145.80, representing a 35% premium above the placement price of existing Aurubis shares in a concurrent Delta Placement. The number of Aurubis shares underlying the bonds will initially be 3.4 million, representing approximately 7.6% of Aurubis’s issued share capital.

According to Salzgitter, the proceeds will be used for general business purposes, further SALCOS stage one expenditure, and restructuring measures. The bonds are also being issued to diversify the structure and tenor of the group’s financing.

The Joint Global Coordinators conducted a placement of existing Aurubis shares alongside the bond placement. The placement price for the shares in the Delta Placement was €108.00 per share, determined through an accelerated bookbuilding process. Salzgitter will not receive any proceeds from the sale of shares in connection with the Delta Placement.

Salzgitter Mannesmann GmbH, a wholly-owned subsidiary of Salzgitter, will enter into a stock lending arrangement with BNP PARIBAS or one of its affiliates for up to 2 million shares, representing approximately 4.4% of Aurubis’s issued share capital.

 

 

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