On June 23, Calyon was the joint lead manager and joint bookrunner alongside three of PSA Peugeot Citroën’s leading relationship banks on a EUR 575 million OceaneBonds convertible into new or existing shares. The issuer of Oceanes may convert them into either new shares issued specifically for this purpose or existing shares that it is holding, for example following a share buy back (source: Vernimmen.net).  issue for Peugeot S.A. The high-quality order book enabled the greenshoeA greenshoe is an option granted by the seller/issuer to the bank to buy at the price of offering a number of supplementary shares over and above the number offered to investors. (source: vernimmen.com) offering to be exercised in full, with the over-allotment option raising the initial EUR 500 million offering to EUR 575 million.

A three-day priority subscription period was offered to all shareholders. Through its FFPAs the historical and key asset of FFP, the holding company's 22.1% equity interest in PSA Peugeot Citroën Group is an integral part of the Peugeot Family Group, the leading shareholder of Peugeot S.A. with a 30.3% ownership interest and 45.4% of the voting rights. holding company, the Peugeot family subscribed 10% of the offering.

Given the challenges facing the automotive sector, the offering is noteworthy through its lengthy 6.5-year duration, with a maturity date of January 1, 2016 and no put option for bondholders. This duration is the longest of any of the 23 European convertible bond offerings initiated in the first half of 2009.

This offering enables Peugeot S.A. to satisfy its general financing needs and continue investing in strategic product development. It marks the return of Peugeot S.A. to the equity-linked market after 15 years.

In late April, Calyon was also a joint lead manager and joint bookrunner in a capital increase on behalf of Faurecia, an automotive supplier 70.85%-owned by Peugeot S.A. This EUR 455 million transaction supports Faurecia’s restructuring plan to adapt to the sector’s economic situation. Peugeot S.A. subscribed the offering in an amount commensurate with its ownership stake.

The offering on behalf of Peugeot S.A. is the sixth-largest European equity-linked transaction led by Calyon as bookrunner since March 2009, when the ArcelorMittal offering, also led by Calyon, re-opened a European market that had been idle since June 2008.