May 15, 2014 / 2:01 PM / 3 years ago

UPDATE 1-Safilo prepares 300 mln euro refinancing

(Adds details of bond placement)

MILAN, May 15 (Reuters) - 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

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