Finnair’s issue | Trading of Finnair’s subscription rights ends on Monday – don’t make this mistake

Trading Finnair’s share issue with subscription rights ends on Monday, and Finnair’s current shareholders have the last few moments to sell their subscription rights if they wish.

In the company’s subscription rights issue, Finnair’s shareholders received one subscription right for each Finnair share they owned. Each two subscription rights entitles you to subscribe to 27 new shares at a subscription price of EUR 0.03.

If the shareholder does not want to subscribe to Finnair’s new shares with subscription rights, Monday is the last day to sell them. Trading of subscription rights on the Helsinki Stock Exchange ends on Monday at 18:30.

Finnair’s new shares can be subscribed with subscription rights until this week. Ann’s subscription period continues until Friday at 4:30 p.m.

If subscription rights are not sold or used, they expire as worthless and are removed from the shareholder’s equity account, Finnair says on its website. In this case, not selling or using subscription rights is the worst mistake a shareholder can make.

For example, an investor who owns 100 Finnair shares gets 100 subscription rights. With them, the shareholder can subscribe for 1,350 new shares, and the total amount to be paid is 40.50 euros. After the offering, the investor owns a total of 1,450 Finnair shares.

Finnair trading of anni’s subscription rights began on Friday, November 3.

The price of the subscription right is determined on the Helsinki Stock Exchange according to supply and demand. On Monday, according to Nordnet’s online service, the price moved around 0.04 euros at 3 p.m. The price has fallen by more than 60 percent since its first quotation a little over a week ago.

There have been plenty of subscription rights available for sale, because Finnair’s issue is large in relation to its market value. In addition, Finnair is owned by many private investors who do not necessarily want to invest more funds in Finnair.

According to data collected by Euroclear, Finnair was owned by approximately 117,000 private investors at the end of October. It was the ninth most owned Helsinki Stock Exchange company by private investors.

According to the company’s website, households own almost 30 percent of Finnair.

Finnair aims to collect gross income of 570 million euros through the subscription rights issue directed at its current shareholders.

The issue’s success is guaranteed, because Ann has a full underwriting guarantee from the banks organizing the issue, Deutsche Bank and Nordea.

In addition, Finnair’s largest shareholder, the State of Finland, and the company’s other significant shareholders, Varma, Elo and Ilmarinen, have announced that they will subscribe for shares in the issue.