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Follow-ons and Rights issues

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  • DenizBank, the Turkish bank, is to conduct a second capital increase, only a few months after finishing its last one — but main shareholder Sberbank is expected to maintain its near-100% stake.
  • South Korea's Samsung Engineering has set the initial price for a W1.2tr ($1.0bn) rights issue, which is expected to launch by March.
  • Nyrstar, the Belgian zinc and lead producer, failed to reach a quorum at an extraordinary general meeting in Brussels today to approve its rescue rights issue. But it had expected this, and is confident the capital raising will be approved at a second EGM in January.
  • Bank of Chongqing has trimmed the size of its H-share placement to HK$3.23bn ($417.56) after several investors dropped out of the trade, almost halving the amount of shares on offer.
  • Solvay, the Belgian chemical company, achieved a 95% take-up for its €1.5bn rights issue, which concluded last week, to finance its $5.5bn takeover of Cytec Industries – one of 2015’s most prominent M&A financings in the European equity capital market.
  • Stocks in Madrid tumbled on Monday, after Sunday’s election left the country without a clear prospect of a stable government. Yet one of the best performing shares was Fomento de Construcción y Contratas, the construction company, which maintained nearly all its gain after last Thursday’s news of a €709.5m rights issue.