TomTom gets 96 percent take-up for rights issue
AMSTERDAM, July 14 - Dutch navigation device maker TomTom (TOM2.AS) attracted a 96 percent take-up for its 5-for-8 rights offer at 4.21 euros per share and said it placed a rump offering at 5.70 euros per share.
TomTom said 3.4 million shares were sold via private placements with institutional and professional investors in the rump offering.
TomTom shares were up 2.7 percent at 5.85 euros by 1034 GMT (6:34 a.m. EDT), outperforming a 0.5 percent rise in the Amsterdam blue chip index .AEX.
TomTom, which makes portable navigation devices for cars and mapping software for handheld computers, is struggling with 1.16 billion euros ($1.6 billion) of debt after its purchase of Dutch digital map maker Tele Atlas for 2.9 billion euros last year.
The company, which competes with U.S.-based Garmin Ltd (GRMN.O), said last month it wanted to raise 430 million euros from the rights issue and a private placing, to reduce debt.
Upon closing of the rights issue the four founders of TomTom together will hold about 47.2 percent of TomTom shares, while Janivo Holding and Cyrte Investments will hold about 8.4 percent of TomTom's shares, the company said in a statement.
(Reporting by Harro ten Wolde; Editing by Greg Mahlich and Rupert Winchester)
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