Heijmans N.V. has cancelled its cumulative financing preference shares A (Preference Shares A) almost six months before the dividend reset date.
In 1998, Heijmans issued 5,555,556 Preference Shares A with a maturity of seven years and a dividend of 4.98% against an issue price of 8.17 per share. Partly in view of the way these shares are treated under IFRS (regarded as a debt instead of shareholders' equity), Heijmans has decided, in consultation with the holders of Preference Shares A, to cancel the Preference Shares A prematurely. The cancellation was financed by the issue of 1,635,000 (depositary receipts for) ordinary shares in March 2005 to domestic and foreign institutional investors. This has served to strengthen and simplify Heijmans' balance sheet. In addition, it re-establishes the principle of "one share, one vote".
Following the cancellation of the Preference Shares A, Heijmans now has 24,072,584 ordinary shares and 6,610,000 cumulative financing preference shares B (Preference Shares B) outstanding. Heijmans has no plans at present to cancel the Preference Shares B (dividend reset date 1 January 2009) prematurely.
Source: Heijmans
