Camfin launches 150 mln euro convertible bond


MILAN, Oct 12 (Reuters) - Italian holding company Cafmin, which controls tyremaker Pirelli , said onFriday it launched a fixed-rate 150 million euro ($194.14million) bond convertible into 5.85 percent of Pirelli shares.

The Pirelli shares to be converted will be supplied byCamfin and will not therefore be newly issued. Proceeds from thebond will be used to pay 132.4 million in debt at Camfin as wellas to recapitalize real estate group Prelios .

The bond will have a coupon of between 5.25 percent and 6percent. The implicit conversion price will be calculated basedon a premium of between 27.5 percent and 32.5 percent of theaverage Pirelli price between the bond's launch and the settingof the final terms.

Banca IMI, BNP Paribas and Unicredit Bank are jointbookrunners and joint lead managers for the sale.($1 = 0.7726 euros)

(Reporting by Jennifer Clark)

((jennifer.clark1@thomsonreuters.com)(+3902 66129422))

Keywords: CAMFIN BOND/

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