Nokia Adjusts Conversion Price Of Its EUR 750 Mln Convertible Bonds

(RTTNews) - Nokia Corp. (NOK) said Wednesday that it has adjusted the conversion price of its 750 million euros convertible bonds to 2.44 euros per share due to the distribution of dividends decided by the Nokia Annual General Meeting on June 17, 2014.

The AGM decided on the distribution of an ordinary dividend of 0.11 euros and a special dividend of 0.26 euros per share.

Due to the adjustment of the conversion price, the maximum number of shares that the Bonds can be converted to is increased by 20 192 323 shares. Consequently, the Board decided, on the basis of the authorization by the AGM and in deviation from the pre-emptive subscription right of the company's shareholders, to issue 20 192 323 new shares upon the conversion of the Bonds into Nokia shares.

Based on the adjusted conversion price, EUR 2.44, the maximum number of new shares which may be issued by Nokia upon the conversion of the Bonds is 307 336 065, representing approximately 8.3% of Nokia's currently issued shares, excluding the shares owned by Nokia and its subsidiary companies.

In a separate press release, Nokia said that its board has resolved to commence repurchases of shares under the authorization given by the Nokia Annual General Meeting held on June 17, 2014, in line with the earlier announced 5 billion euros capital structure optimization program.

The Board resolved to repurchase a maximum of 370 million Nokia shares, however up to an equivalent of 1.25 billion euros.

The company stated that the repurchases will commence earliest after publication of its second quarter 2014 results, which are scheduled for publication on July 24, 2014. The current authorization given by the AGM is valid until December 17, 2015.