Ad-hoc | 11 September 2007 22:46
Infineon Technologies AG / Miscellaneous
Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. PERSONS
Infineon starts to reduce its interest in Qimonda and issues exchangeable
bond
Neubiberg, Germany – September 11, 2007 – Infineon (FSE/NYSE: IFX) today
announced that its Management board decided on a number of capital markets
measures to further reduce its equity interest in Qimonda. One transaction
is the planned sale of American Depositary Shares (ADSs) to reduce its
equity interest in Qimonda. In addition, a subsidiary of Infineon intends
to issue an exchangeable bond while Infineon would commit to a share
lending agreement.
Remaining true to its defined strategy, Infineon is now preparing to
further reduce its holdings in Qimonda. As a first step, Qimonda filed a
registration statement with the Securities and Exchange Commission (SEC)
and reported that Infineon Technologies AG has submitted an offer to sell
25 million ADSs from its own shareholdings with an additional greenshoe
option of up to 3.75 million additional ADSs. Assuming that the sale
proceeds as planned, Infineon's interest in Qimonda would be reduced to
78.6 percent. Furthermore, if the greenshoe option is exercised in full,
Infineon's interest in Qimonda would be further reduced to 77.5 percent.
One ADS represents one ordinary share in Qimonda.
Additionally, Infineon Technologies Investment B.V., a wholly owned
subsidiary of Infineon Technologies AG, intends to issue an exchangeable
bond plus an additional greenshoe option. During its term (beginning 40
days after issue), the three-year exchangeable bond will give its holders
the right to receive Qimonda ADSs from Infineon in lieu of cash settlement.
If all bondholders would exercise their exchange options, Infineon would
give, including the greenshoe option, 17 million Qimonda-ADSs for the
redemption of the exchangeable bond – equivalent to nearly 5 percent of
Qimonda's share capital.
Concurrently with these transactions, Infineon intends to lend an affiliate
of U.S. investment bank JP Morgan Securities, up to 10 million Qimonda ADSs
alongside its placement of the exchangeable bond.
This announcement does not constitute an offer of the exchangeable bonds
for sale in the United States. The exchangeable bonds have not been
registered under the U.S. Securities Act of 1933, as amended (the 'Act')
and may not be offered or sold in the United States or to or for the
account of U.S. persons unless the securities are registered under the Act,
or an exemption from the registration requirements of the Act is available.
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Information and Explaination of the Issuer to this News:
Investment banks Citi, Credit Suisse and JPMorgan are acting as joint
bookrunners on both transactions, the sale of Qimonda ADSs and the
exchangeable bond.
When available, a copy of the prospectus relating to the ADSs may be
obtained from Citi, Brooklyn Army Terminal, 140 58 th Street, 8 th floor,
Brooklyn, NY 11220 (Tel: +1-718-765-6732), Credit Suisse, Prospectus
Department, One Madison Avenue, New York, NY 10010, (Tel: +1-800-221-1037)
or JPMorgan, Prospectus Library, 4 Chase Metrotech Center, CS Level,
Brooklyn, NY 11245 (Tel: +1-718-242-8002). It may also be accessed through
Infineon’s website at www.infineon.com, Qimonda’s website at
www.qimonda.com or directly through the U.S. Securities and Exchange
Commission at www.sec.gov.
This announcement contains forward-looking statements about our future
business. These forward-looking statements include statements relating to
financing measures Infineon and Qimonda may undertake. These
forward-looking statements are subject to a number of uncertainties
including those described in the 'Risk Factors' section of the annual
report of Infineon on Form 20-F filed with the U.S. Securities and Exchange
Commission on November 30, 2006. Infineon does not assume any obligation to
update or revise these forward-looking statements in light of developments
which differ from those anticipated.
About Infineon
Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and
system solutions addressing three central challenges to modern society:
energy efficiency, communications and security. In fiscal year 2006 (ending
September), the company achieved sales of Euro 7.9 billion (including
Qimonda sales of Euro 3.8 billion) with approximately 42,000 employees
worldwide (including approximately 12,000 Qimonda employees). With a global
presence, Infineon operates through its subsidiaries in the US from
Milpitas, CA, in the Asia-Pacific region from Singapore, and in Japan from
Tokyo. Infineon is listed on the Frankfurt Stock Exchange and on the New
York Stock Exchange (ticker symbol: IFX).
Further information is available at www.infineon.com.
This news release is available online at www.infineon.com/press/
11.09.2007 Financial News transmitted by DGAP
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Language: English
Issuer: Infineon Technologies AG
Am Campeon 1-12
85579 Neubiberg
Deutschland
Phone: +49 (0)89 234-26655
Fax: +49 (0)89 234-955 2987
E-mail: investor.relations@infineon.com
Internet: www.infineon.com
ISIN: DE0006231004
WKN: 623100
Indices: DAX
Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in
Berlin, Hannover, München, Hamburg, Düsseldorf, Stuttgart;
Terminbörse EUREX; Foreign Exchange(s) NYSE
End of News DGAP News-Service
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