SIEMENS is likely to raise about 1.4 billion euros (S$2 billion) from the sale of a roughly 2.3 per cent stake in Siemens Healthineers, the medical technology unit it listed in 2018, after increasing the size of the deal.
The German group increased the number of Healthineers shares offered to around 26.5 million from 22 million, and was expected to price them at 54.65 euros each, according to terms seen by Bloomberg. Demand exceeded the shares available by several times, the terms show.
The price would represent a discount of about 2.9 per cent from the close on Wednesday (Feb 19) of 56.28 euros each, according to Bloomberg calculations.
The sale comes after Siemens said last year it could sell shares in Siemens Healthineers to pay for its US$10.6 billion acquisition of Altair Engineering. The proceeds will go to fund general corporate purposes, according to the release. Siemens has also said it plans to sell a 2.5 billion euros stake in Siemens Energy to fund the Altair deal.
Barclays, BNP Paribas and Morgan Stanley are arranging the deal, according to the terms.
Investors have raised US$6.3 billion in Europe this year through overnight placings, with corporate shareholders leading the charge, according to data compiled by Bloomberg.
Pfizer sold a US$3.1 billion stake in Sensodyne-maker Haleon last month, just a day after Reinet Investments SCA exited its US$1.5 billion stake in British American Tobacco. BLOOMBERG
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