Cherry AG sets final offer price for its IPO at EUR 32 per share

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Cherry AG sets final offer price for its IPO at EUR 32 per share

• Total IPO volume including upsize option and over-allotment significantly oversubscribed
• Final offer price set at EUR 32 per share
• Cherry raises gross proceeds of EUR 138 million
• Free float will stand at 53% (assuming full exercise of the greenshoe option)
• First day of trading of the shares on the regulated market (Prime Standard) at the Frankfurt Stock Exchange planned for 29 June 2021

Munich, 23 June 2021. Cherry AG (the "Company" and together with its consolidated subsidiaries "Cherry"), a global innovation and quality leader in the manufacture of premium mechanical gaming switches and peripherals for gaming, office and industry as well as healthcare and security applications, has set the final offer price for the shares offered in its initial public offering at EUR 32 per share. 

At the final offer price of EUR 32 per share, the total volume of the IPO was significantly oversubscribed. The first day of trading for the Company's 24,300,000 shares on the regulated market (Prime Standard) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) is planned for 29 June 2021. The total number of shares and the final offer price corresponds to a market capitalization of EUR 778 million. In the context of the offering, 4,300,000 new ordinary bearer shares from a capital increase of the Company and 8,695,000 existing ordinary bearer shares from the Selling Shareholder (thereof 2,000,000 from the exercise of an upsize option and 1,695,000 to cover the over-allotment) were placed. The total volume of the IPO (i.e., the gross proceeds from all placed shares) amounts to EUR 416 million. 

The Company's gross proceeds from the placement of the 4,300,000 new shares amounts to EUR 138 million. Cherry intends to use the net proceeds from the IPO to (i) fuel organic growth, in particular to advance and expand Cherry's position as a global brand and innovation leader, (ii) drive inorganic growth through selective acquisitions, and (iii) repay certain outstanding debt in connection with a refinancing of existing debt.

Rolf Unterberger, CEO at Cherry: "The successful entry on to the stock exchange marks a milestone in Cherry's company history. We are especially proud to have received such strong shareholder support, as evidenced by the high demand for our shares and the overwhelmingly positive feedback in discussions with investors. We feel a sense of responsibility to our new investors and look forward now to refocusing on delivering the business plan."

Bernd Wagner, CFO at Cherry, adds: "I would also like to welcome our new investors and look forward to delivering the goals and strategy we have clearly set out during this process. The received proceeds from the capital increase will allow us to further accelerate the organic and inorganic growth of Cherry in the coming years."

The Company and the Selling Shareholder have each agreed to a lock-up period of 180 days. The members of the Management Board have agreed to a lock-up period of 18 months and members of the Supervisory Board who will receive shares in the Company in the context of the IPO have agreed to a lock-up for a period of twelve months. 

The shares will carry the international securities identification number (ISIN) DE000A3CRRN9 and the German securities identification number (WKN) A3CRRN. Delivery of the offered shares to investors is planned to take place on 29 June 2021.

Hauck & Aufhäuser is acting as Sole Global Coordinator and Joint Bookrunner, and ABN AMRO (in cooperation with ODDO BHF SCA) and M.M.Warburg & CO are acting as Joint Bookrunners for the IPO.


About Cherry

Cherry is a globally active manufacturer of high-end switches for mechanical keyboards and of computer input devices. Its business focusses on mechanical keyboard switches for gaming keyboards and on computer input devices used in a variety of settings, mainly for gaming, office, industry, cybersecurity protection as well as telematics solutions for healthcare practices. Since its foundation in 1953, Cherry stands with its two business areas, Gaming and Professional, for innovative and premium quality products developed specifically for the needs of its customers.

Cherry has its operative headquarters in Auerbach in der Oberpfalz, Germany, and currently employs over 500 employees in production facilities in Auerbach, Zhuhai (China) and Vienna (Austria), in addition to several sales offices in Auerbach, Paris, London, Kenosha (USA), Taipei and Hong Kong.

More information: www.cherry-world.com
 
Contact Cherry AG

cometis AG
Justus Fischer
Unter den Eichen 7
65195 Wiesbaden

Phone: +49 611 205855 - 26
E-mail: fischer@cometis.de


DISCLAIMER

This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United States, Australia, Canada, Japan or in any jurisdiction to whom or in which such offer or solicitation is unlawful.

This announcement is not an offer of securities for sale in the United States of America (including its territories and possessions, any state of the United States and the District of Columbia, the "United States"). Any securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or the securities laws of any state or other jurisdiction of the United States, and may not be offered, sold or otherwise transferred, directly or indirectly, in or into the United States absent such registration, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements under the Securities Act, in each case in compliance with any applicable securities laws of any state or other jurisdiction of the United States. Any public offering of securities to be made in the United States would be made by means of a prospectus that could be obtained from Cherry AG and that would contain detailed information about the company and management, as well as financial statements. There will be no public offer of the securities in the United States.

Subject to certain exceptions under applicable law, the securities referred to herein may not be offered or sold in Australia, Canada or Japan or to, or for the account or benefit of, any national, resident or citizen of Australia, Canada or Japan.

In member states of the European Economic Area other than Germany, this announcement is only addressed to and directed at persons who are "qualified investors" within the meaning of Article 2(e) of the Prospectus Regulation (Regulation (EU) 2017/1129), as amended. This announcement is directed only at persons in the United Kingdom ("U.K.") in circumstances where section 21(1) of the Financial Services and Markets Act 2000 does not apply. This announcement and the information contained therein does not constitute an offer document or an offer of securities to the public in the U.K. to which section 85 of the Financial Services and Markets Act 2000 of the U.K. applies and is not, and should not be considered as, a recommendation that any person should subscribe for or purchase any securities. In the U.K., this announcement and the information contained therein is being communicated only to persons who are qualified investors within the meaning of Article 2 of the Prospectus Regulation (Regulation (EU) 2017/1129), as amended, as it forms part of U.K. domestic law by virtue of the European Union (Withdrawal) Act 2018 and who are also (i) persons who have professional experience in matters relating to investments falling within article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) (the "Order") or (ii) persons within the scope of article 43 of the Order or (iii) high net worth companies, unincorporated associations and other bodies who fall within article 49(2)(a) to (d) of the Order (all such persons together being referred to as "Relevant Persons"). Any investment or investment activity to which this announcement and the information contained therein relates is available only to and will be engaged in only with Relevant Persons, and any person who is not a Relevant Person must not act or rely on this announcement or any of its contents. This announcement and the information contained therein should not be published, reproduced, distributed or otherwise made available, in whole or in part, to any other person without the prior consent of Cherry AG.

This announcement and the information contained herein are for information purposes only. It is not a prospectusor an offer to sell or a solicitation of an offer to buy securities. The offer (which ended on 23 June 2021) was made solely, and the listing of the shares of Cherry AG on the regulated market of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) will be made solely based on a securities prospectus. The prospectus has been approved by the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht - "BaFin") in accordance with the Prospectus Regulation regime. However, the approval of the prospectus by BaFin should not be understood as an endorsement of the shares of Cherry AG. Investors should purchase shares solely on the basis of the prospectus relating to the shares and should read the prospectus before making an investment decision in order to fully understand the potential risks and rewards associated with the decision to invest in the shares. The prospectus has been published and is available on Cherry AG's website (https://www.cherry.de/ueber-cherry/neuer-bereich/details-zum-ipo/ipo-info-detailseite/prospekt.html) until expiration of the validity of the prospectus. In addition, copies of the prospectus are available free of charge from Cherry AG, Einsteinstraße 174, 81677 Munich, Germany.