|
DGAP-Ad-hoc: FRIWO AG / Key word(s): Joint Venture/Capital Increase FRIWO enters into a joint venture with the UNO MINDA Group and decides on capital increase via a cash capital increase and contribution in kind Ostbevern, 10th December 2021 - FRIWO AG entered a Joint Venture with UNO MINDA Group. FRIWO will hold a minority stake of 49.9 percent and will consolidate the income from the Joint Venture through the company's financial result. In addition, the management board and supervisory board of FRIWO AG today passed the necessary resolutions to carry out a capital increase in cash and a capital increase in kind using the authorized capital and excluding pre-emptive rights. As part of the planned cash capital increase, UNO MINDA is likely to have a stake of around 5.24 percent in FRIWO. As part of the capital increase in kind, the main shareholder of FRIWO AG, VTC GmbH & Co. KG, will convert existing loans of around EUR 13.6 million into equity and will receive new shares in the amount of 4.75 percent of the future share capital. In the framework of the Joint Venture, FRIWO E-Drive-Technologies and UNO MINDA Technologies will combine their technologies and production capabilities. As a result, the combined entity will be able to offer full line e-drive-solutions for the Indian two- and three-wheeler market. The Joint Venture will be supported by UNO MINDA's marketing, sales and support functions based in India. The newly formed Joint Venture will also utilize the state-of-the-art production facilities in India from UNO MINDA. The respective markets promise high growth rates facilitated by governmental initiatives in India. UNO MINDA plans a 15 million euro investment in FRIWO AG via a capital increase in kind excluding pre-emptive rights in order to strengthen the industrial partnership between the two groups. The planned transaction and the capital measure are subject to regulatory approval, including of the Reserve Bank of India. Hence, it will be finally confirmed in the course of the first quarter of 2022 whether this capital increase can be implemented as intended. In parallel to the investment of UNO MINDA, FRIWO's main shareholder VTC GmbH & Co. KG through its subsidiary CARDEA will also enhance the financial soundness and balance sheet quality of the company via a debt-equity swap in the amount of 13.6 million euros. In that context, the Management Board, with the approval of the Supervisory Board, has passed a resolution to increase the share capital of FRIWO AG by issuing 406,334 new ordinary shares utilizing the Authorized Capital, excluding pre-emptive rights of existing shareholders. The new shares will be issued at a price of 33.47 euros per share. Furthermore, the Management Board and the Supervisory Board have passed the necessary resolutions to offer UNO MINDA 448,162 new shares at the same price as stated above. This capital increase for cash of 15 million euros is subject to the approval of the Reserve Bank of India. The new ordinary shares of both transactions represent 9.99 percent of the future registered share capital of FRIWO. After the completion of both transactions, VTC will hold 81.59 percent and UNO MINDA 5.24 percent of the then existing total share capital in FRIWO AG. Further Information:
10-Dec-2021 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. |
| Language: | English |
| Company: | FRIWO AG |
| Von-Liebig-Straße 11 | |
| 48346 Ostbevern | |
| Germany | |
| Phone: | +49 (0)2532 81-0 |
| Fax: | +49 (0)2532 81-129 |
| E-mail: | ir@friwo.com |
| Internet: | www.friwo.com/de/about/investor-relations/ |
| ISIN: | DE0006201106 |
| WKN: | 620110 |
| Listed: | Regulated Market in Berlin, Dusseldorf, Frankfurt (General Standard); Regulated Unofficial Market in Hamburg, Munich, Stuttgart |
| EQS News ID: | 1256601 |
| End of Announcement | DGAP News Service |
|
|
1256601 10-Dec-2021 CET/CEST
P R O D U C T S U G G E S T I O N S
The information presented here has been provided by our content partner EQS-Group. The originator of the news is the respective issuer, the company relating to the news, a publication service provider (press or information agency) which uses the distribution service of EQS to transmit company news to shareholders, investors, investors or interested parties. The original publications and other company-relevant information can be found at eqs-news.com.
The information you can access does not constitute investment advice. The presentation of our cooperation partners, where the implementation of investment decisions would be possible depending on the individual risk profile, is solely at the discretion of the person using the service. We only present companies of which we are convinced that the range of services and customer service will satisfy discerning investors.
If you are considering leverage products, familiarise yourself with the typical characteristics of the financial instruments beforehand. Take the time to determine the risk content of the planned investment before making an investment decision. Bear in mind that a total loss cannot be ruled out with leverage products.
For newcomers to the subject, we offer various options in both the training and the tools section, through which you can train theoretical knowledge and practical experience and thus improve your skills. The offer ranges from participation in webinars to personal mentoring. The range is continuously being expanded.
1 Lab features are usually functionalities that emerge from the think tank of the investor community. In the early stages, these are experimental functionalities whose development process is largely determined by use and the resulting feedback from the community. When integrating external services or functionalities, the functionality can only be guaranteed to the extent that the individual process elements, such as interfaces, interact with each other.
