Subsidiary Air Berlin Finance refinanced a €140 million ($152 million) convertible bond in March 2017.

The 6% guaranteed convertible bonds, which were issued on 6 March 2013, with a six-year term were converted to 8.5% convertible bonds with 6 March 2019 maturity.

On the basis of the exchange ratio of 1:1, €41.3 million worth of new convertible bonds were validly offered for exchange. After the exchange, the outstanding aggregate principal amount of the existing convertible bonds was €98.7 million.

Etihad Airways offered its entire holding of €40 million of the existing convertible bonds for exchange.

HSBC Bank acted a dealer manager in respect of the exchange offer. Deutsche Bank AG, London Bank acted as exchange agent in respect of the exchange offer.

Air Berlin also placed additional new 8.5% convertible bonds due 6 March 2019 guaranteed by, and convertible into ordinary shares of, Air Berlin. Etihad entered into a total return swap in respect of €53.7 million in principal amount of the new convertible bonds with HSBC Bank.

The initial conversion price of the new convertible bonds was set at €1.15, corresponding to a premium of 92.69%.

HSBC acted as sole global coordinator and sole bookrunner in respect of the offering. ADS Securities acted as co-lead manager in respect of the offering.

Initial ID representing the 2013's convertible bond is 2315.