Volkswagen shares drop on bond placement
Volkswagen (VOWG_p.DE) shares fell 3.6 percent to the bottom of Germany's benchmark DAX index .GDAXI after the group said it raised 2.5 billion euros ($3.20 billion) from a convertible bond.
"The ... dilution for shareholders should lead to an equivalent share price decline," a trader says.
Volkswagen said late on Monday it aimed to raise at least 2 billion euros in fresh capital to strengthen its balance sheet by issuing debt that must be converted into non-voting equity in 2015.
($1 = 0.7823 euros)
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