Ipsos Share Sale Success Paves Way for Synovate Buy
Ipsos has successfully completed the EUR 200 million rights issue it announced three weeks ago, reporting strong demand for the shares. The money will be used to part-fund the company's acquisition of Synovate, alongside existing cash and credit, and a EUR 250m loan.
The two companies announced the EUR 596m (£525m) deal, set to create the world's third largest market research company, in July.
The rights issue was oversubscribed by 84% - demand for around 20.1m shares was met with the issue of around 10.97m, representing eight new shares for every 25 existing - Ipsos will have a total of around 45.2m issued shares when the new issue arrive on the Euronext Paris exchange tomorrow. The firm's major shareholder, LT Participations, subscribed for all of its preferential subscription rights.
Gross proceeds from the sale were EUR 200,157,824. The acquisition of Synovate is expected to close shortly.
Web sites: www.ipsos.com and www.synovate.com .