Comprehensive M&A data with integrated detailed company information

ams to hold rights issue to fund Osram
Posted on Monday, 12 August 2019 13:42
Austrian integrated analogue microchip designer and maker ams intends to kick off a fully underwritten equity issue worth EUR 1.50 billion in order to partially finance a EUR 4.30 billion offer for Osram Licht of Germany.

The Premstätten-based supplier of 3D sensing-to-precision time measurement products said it would seek approval for the cash call at an extraordinary general meeting in the fourth quarter of 2019.

HSBC and UBS are joint global coordinators and bookrunners for the proposed equity issue, which would be the seventh-largest capital increase by an Austrian company on record, according to Zephyr, the M&A database published by Bureau van Dijk.

AMS’ sensors, interfaces and related software are used in smartphones and mobile devices to smart homes and buildings, industrial automation, medical technology, and connected vehicles.

They drive applications requiring small form factor, low power, highest sensitivity and multi-measuring integration.

With about 9,000 employees worldwide, ams serves more than 8,000 customers and has 18 design centres across Europe, Asia and the US.

The company had revenue of USD 801.18 million in the six months ended 30th June 2019 (H1 2018: USD 655.20 million) and booked operating profit of USD 17.46 million, compared to a loss of USD 30.26 million in H1 2018.

Net profit for the period totalled USD 15.80 million, down from USD 37.36 million a year earlier.

ams, in its report for the second quarter of 2019, said it requires mergers and acquisitions to be strategically compelling and demonstrably value enhancing.

The group also needs inorganic opportunities to be financially accretive, achievable with a sustainable capital structure and fitting its financial model.

In March 2019, ams announced and signed an agreement to set up a joint venture with Wise Road Capital to advance the development of environmental, flow and pressure sensors business for the global market.

© Zephus Ltd