Pursuant to the program, Group employees will be offered the opportunity to acquire shares at market price in a company especially established for the intended purpose, which company will subscribe for convertible bonds issued by ASSA ABLOY. At maturity, it is intended that the company will be dissolved and any proceeds, depending on the value increase, will be distributed to the employees participating in the incentive program.

 

The convertible bonds will be issued in four equal series totalling a maximum nominal value of EUR 100 million with a maturity of five years. The convertible bonds will be issued as one unit at nominal value, which is also the estimated market value. The conversion rate will vary between 100 and 160 percent of the price for the ASSA ABLOY share during a certain measure period prior to the subscription for the convertible bonds. The dilution will depend on the ASSA ABLOY share price and the applicable exchange rate at subscription, but is expected, based on the applicable rates, as of the day prior to the shareholders' meeting, to amount to 1,6 per cent of the share capital and 1,1 percent of the total number of votes, on a fully diluted basis. The special purpose company intends to finance its subscription for the convertible bonds by debt financing corresponding to 90 percent of the nominal value of the convertibles and the remainder with capital contributions from the employees' subscription for shares. In some countries, the participation in the incentive program will take place indirectly by way of stock appreciation rights or similar means.

 

 

 

                                                    For further information, please contact

Carl-Henric Svanberg, President & CEO, tel: +46 8 506 485 52,

or Göran Jansson, CFO, tel: +46 8 506 485 72

 

ASSA ABLOY AB (publ)

P.O. Box 70340, S-107 23 Stockholm

Tel: +46 8 506 485 00, Fax: +46 8 506 485 85

Visiting address: Klarabergsviadukten 90