Allen & Overy advised the RAG Foundation on the issue of a EUR 500 million convertible bond linked to Evonik shares due on 16 March 2023.

The RAG Foundation already placed a convertible bond with an aggregate principal amount of EUR 500 million in February 2015 and of EUR 600 million in June 2014. RAG-Stiftung was also advised by Allen & Overy in regard to these transactions.

The convertible bond will be issued at 104% of the nominal value and not bear interest. The exchange price has been fixed at EUR 38.2529 which corresponds to an exchange premium of 30% over the volume-weighted average price of the Evonik share in XETRA trading during the period between start of trading and price fixing. The RAG Foundation may call the notes on or after 6 April 2021 if the Evonik share price over a certain period of time exceeds 130% of the exchange price prevailing at the time.

The Allen & Overy team comprised partner Dr. Hans Diekmann (corporate, Düsseldorf) and associate Dorothée Kupiek (corporate, Düsseldorf).