DGAP-Adhoc: MIFA Mitteldeutsche Fahrradwerke AG: Investment agreement with Indian bike manufacturer HERO concluded, equity investment pursuant to capital increases from authorised capital

MIFA Mitteldeutsche Fahrradwerke AG  / Key word(s): Investment/Miscellaneous

19.05.2014 21:57

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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MIFA: Investment agreement with Indian bike manufacturer HERO concluded,
equity investment pursuant to capital increases from authorised capital

  - Investment agreement with OPM Global B.V., a subsidiary of Hero Cycles
    Ltd., about an equity capital investment in the amount of EUR 15
    million concluded

  - FERI EuroRating Services AG reduced issue rating of corporate bond 

  - Annual General Meeting expected for third quarter of 2014 

Sangerhausen, 19 May 2014 - MIFA Mitteldeutsche Fahrradwerke AG ("MIFA",
German security identification number: A0B95Y, ISIN: DE000A0B95Y8)
announces that the company OPM Global B.V., a subsidiary of Hero Cycles
Ltd. ("HERO"), has entered into a general commitment today as part of an
investment agreement to underwrite capital increases in cash in the amount
of EUR 15 million from MIFA's existing authorised capital and thus invest
up to EUR 15 million of equity into MIFA. The cash capital increases shall
comprise a 10% capital increase with subscription rights being excluded and
a subsequent rights issue with a total number of 4.9 million new shares to
be issued. OPM Global B.V. has undertaken to subscribe all such shares
which together with additional existing shares to be transferred from
certain existing shareholders would result in an overall participation of
the investor of up to 47 %. The investment commitment by OPM Global B.V.
entails significant financial contributions of MIFA's financing partners
and is subject to various conditions precedent, especially to the condition
of a haircut in the amount of EUR 15-20 million of the bondholders as well
as an exemption from the German Financial Supervisory Authority (BaFin)
from the obligation to make a public takeover offer under the The German
Securities Acquisition and Takeover Act.

FERI EuroRating Services AG, which MIFA mandated to prepare an issue rating
for the corporate bond that it issued in August 2013, notified MIFA that it
has reduced the "B-" issue rating to "CC".

In addition, MIFA announces that this year's Annual General Meeting of the
company is expected to be postponed until the third quarter of 2014 due to
the delayed publication of the annual financial statements.


Contact:

Mark Appoh
cometis AG
Unter den Eichen 7
65195 Wiesbaden
Tel.: +49 (611) 205855-21
Fax: +49 (611) 205855-66
Email: appoh@cometis.de


19.05.2014 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language:     English
Company:      MIFA Mitteldeutsche Fahrradwerke AG
              Kyselhäuser Straße 23
              06526 Sangerhausen
              Germany
Phone:        03464-5370
Fax:          03464-537251
E-mail:       b.mirau@mifa.de
Internet:     www.mifa.de
ISIN:         DE000A0B95Y8
WKN:          A0B95Y
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Hamburg, München (m:access), Stuttgart
 
End of Announcement                             DGAP News-Service
 
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