SAP Plans Change to Share Capital
October 28 2005 - 10:24AM
PR Newswire (US)
Change to result in 3 additional shares for each existing SAP share
held WALLDORF, Germany, Oct. 28 /PRNewswire-FirstCall/ -- SAP
[NYSE: SAP] announced today it plans to propose a change to its
share capital next year. The transaction would be structured for
German company law purposes as an increase in subscribed capital
from corporate funds pursuant to which each shareholder will
receive three additional shares ("bonus shares" / "dividend stock")
for each existing SAP share held. No new capital is being raised
through this transaction. The executive board proposal was approved
today by SAP's supervisory board and will be submitted for approval
at next year's Annual Shareholder Meeting. "We expect this measure
will make the SAP share more attractive for investors, in
particular individual shareholders", said Werner Brandt, Chief
Financial Officer and member of the executive board of SAP AG. If
shareholders approve the capital increase at next year's Annual
Shareholder Meeting, the numbers of shares held will increase
fourfold automatically. Total shareholders' equity will not be
affected since this measure simply involves a shift between
individual components of shareholders' equity. The subscribed
capital will rise to around 1,266 million euros from around 316
million euros at present. The number of SAP's outstanding shares,
which each have a no-par value of 1 euro, will rise accordingly.
Note to holders of SAP ADRs representing SAP Ordinary Shares: If
approved by SAP shareholders, each SAP ADR will represent one SAP
Ordinary Share after giving effect to the transaction rather than
1/4 of one Ordinary Share today. About SAP SAP is the world's
leading provider of business software solutions*. Today, more than
29,800 customers in over 120 countries run more than 100,600
installations of SAP(R) software-from distinct solutions addressing
the needs of small and midsize businesses to enterprise-scale
solutions for global organizations. Powered by the SAP
NetWeaver(TM) platform to drive innovation and enable business
change, mySAP(TM) Business Suite solutions are helping enterprises
around the world improve customer relationships, enhance partner
collaboration and create efficiencies across their supply chains
and business operations. SAP industry solutions support the unique
business processes of more than 25 industry segments, including
high tech, retail, public sector and financial services. With
subsidiaries in more than 50 countries, the company is listed on
several exchanges, including the Frankfurt stock exchange and NYSE
under the symbol "SAP." (Additional information at
http://www.sap.com/) (*) SAP defines business solutions as
consisting of Enterprise Resource Planning and related software
solutions such as Supply Chain Management, Customer Relationship
Management, Product Lifecycle Management, Supplier Relationship
Management. Any statements contained in this document that are not
historical facts are forward-looking statements as defined in the
U.S. Private Securities Litigation Reform Act of 1995. Words such
as "anticipate," "believe," "estimate," "expect," "forecast,"
"intend," "may," "plan," "project," "predict," "should" and "will"
and similar expressions as they relate to SAP are intended to
identify such forward-looking statements. SAP undertakes no
obligation to publicly update or revise any forward-looking
statements. All forward-looking statements are subject to various
risks and uncertainties that could cause actual results to differ
materially from expectations. The factors that could affect SAP's
future financial results are discussed more fully in SAP's filings
with the U.S. Securities and Exchange Commission ("SEC"), including
SAP's most recent Annual Report on Form 20-F filed with the SEC.
Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of their dates.
SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver and other
SAP products and services mentioned herein as well as their
respective logos are trademarks or registered trademarks of SAP AG
in Germany and in several other countries all over the world. All
other product and service names mentioned are the trademarks of
their respective companies. Data contained in this document serves
informational purposes only. National product specifications may
vary. For more information, press only: Herbert Heitmann, +49
(6227) 7-61137, , CET Tony Roddam, +49 (6227) 7-49133, , CET For
more information, financial community only: Stefan Gruber, +49
(6227) 7-44872, , CET Martin Cohen, +1 (212) 653-9619, , EDT
DATASOURCE: SAP CONTACT: Herbert Heitmann, +49-6227-7-61137, , or
Tony Roddam, +49-6227-7-49133, , Investors - Stefan Gruber,
+49-6227-7-44872, , CET, or Martin Cohen, +1-212-653-9619, Web
site: http://www.sap.com/
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