(Adds details of bond placement)
MILAN May 15 Italian eyewear group Safilo
said on Thursday it had placed equity-linked bonds and
its board had approved the conditions of a credit facility to
diversify its financing and extend the maturity of its debt.
Safilo, which makes glasses for its own Polaroid and Carrera
brands and fashion labels Gucci and Dior, said in a statement it
had placed 150 million euros ($206 million) in five-year
unsecured and unsubordinated equity-linked bonds.
The bonds will pay a coupon of 1.25 percent and the
conversion price has been set at 21.86 euros, representing a 40
percent premium to the weighted average share price on Thursday,
Safilo said in a statement.
Safilo also expects to finalise a four-year unsecured,
unsubordinated revolving credit facility for up to 150 million
euros with banks in the coming weeks.
The bonds and loan facility will be partly used to repay
debt that matures in 2015, according to the company.
The conversion of the bonds into shares is subject to
shareholder approval of a capital increase, Safilo said.
($1 = 0.7294 Euros)
(Reporting by Isla Binnie; Editing by Mark Heinrich)