Is investment group BlueBay on the cusp of owning a majority of Infogrames? A new report has said that with its recent issuance
of €150 million ($221.5) in bonds, the group stands to own almost 60 percent of the publisher if the bonds are transferred into shares.
Forbes reports that the bonds are scheduled
to be converted into shares on April 1st, 2014, but that the company may buy them back, or convert them ahead of the due date. According to Forbes, the conversion would mean that BlueBay would own 59.8 percent of Infogrames' capital and 59.7 percent of its voting rights.
BlueBay's priority subscription as an existing shareholder entitled it to apply for 359,815 of the 1.5 million bonds, and it bid for another 967,916 bonds during the offering to investors and the public, which brings it to ownership of 88.5 percent of all the bonds, according to Forbes.
Earlier this year, when BlueBay purchased a 22.5 percent stake in Infogrames, it indicated
it did not want to purchase the company.
Although Infogrames’ recent restructuring and financial problems have caused considerable turmoil at Atari, Inc. the French publisher has noted that it has more than ten projects currently under development, including a new Alone in the Dark
sequel and a return to older franchises, such as Airborne Rangers
and Hogs of War