Abstract
The purpose of this study is to determine the significance of convertible bonds as an instrument of raising capital by companies on the Polish capital market. This study contains an analysis of some examples of convertible bonds issued on the Polish Catalyst market that operates on the transaction platforms of the Warsaw Stock Exchange and of BondSpot. The data come from reports published by companies on the Catalyst. As research method applied is a case study. The analyses performed allow the indication of increasing utilization of convertible bonds by economic operators to raise capital. The applied solutions concern varied situations in which companies found themselves. In extreme cases it concerned companies that were unable to pay off their liabilities generated by issued bonds.
Including bonds convertible into shares into financing strategy of a company allows to obtain borrowed capital cheaply in comparison with traditional bonds or a bank loan, in exchange for the possibility of their conversion into shares. The level of the development of Poland’s capital market indicates opportunities for further growth in using convertible bonds by companies as an instrument for collecting funds and in the case of investors for investing capital.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Antkiewicz, S. (2002). Akcje i obligacje w finansowaniu przedsiębiorstw [Shares and bonds in financing companies]. Warsaw: Biblioteka Menedżera i Bankowca.
Antkiewicz, S. (2009). Polski rynek obligacji i innych dłużnych papierów wartościowych [Polish bond and other bond securities market]. Gdańsk: Gdańsk University Publishing House.
Bankier. (2011). Uchwała Zarządu dotycząca emisji obligacji zamiennych [Board resolution on the issue of convertible bonds]. [online] Accessed March 13, 2015, from http://www.bankier.pl/wiadomosc/Rubicon-Partners-NFI-SA-Uchwala-Zarzadu-dotyczaca-emisji-obligacji-zamiennych-2326430.html
Bankier. (2012). Wykup obligacji własnych zamiennych [Redemption of convertible bonds]. [online] Accessed February 15, 2015, from http://www.bankier.pl/wiadomosc/MERA-Wykup-obligacji-wlasnych-zamiennych-2527390.html
Bankier. (2013). Warimpex wyemitował obligacje zamienne o wartości 26.5 mln zł [Warimpex has issued convertible bonds of PLN 26.5 million]. [online] Accessed April 24, 2015, from http://www.bankier.pl/wiadomosc/Warimpex-wyemitowal-obligacje-zamienne-o-wartosci-26-5-mln-zl-2792380.html
Batten, J. A., Lee-Hawei Khaw, K., & Young, M. R. (2014). Convertible bond pricing models. Journals of Economic Surveys, 28(5), 775–803.
Biznes. (2014). Miraculum S.A.: Zmiana uchwały o emisji obligacji serii AAA, [Amendment of the resolution on the issue of bonds of series AAA]. [online] Accessed April 24, 2015, from http://biznes.pl/gielda/komunikaty-espi-ebi/miraculum-sa-zmiana-uchwaly-o-emisji-obligacji-ser,261065,komunikaty-detal.html
Biznes Interia. (2009). Emisja niepublicznych obligacji zamiennych na akcje MCI Management SA [Issue of non-public bonds convertible into shares of MCI management SA]. [online] Accessed February 23, 2015, from http://biznes.interia.pl/news/emisja-niepublicznych-obligacji-zamiennych-na-akcje-mci,1366962,1028
CBonds. (2015). Obligacje krajowe: Warimpex Finanz [Domestic bonds: Warimpex Finanz]. [online] Accessed April 24, 2015, from http://pl.cbonds.pl/emissions/issue/52081
Chkraborty, A., & Yilmaz, B. (2011). Adverse selection and convertible bonds. Review of Economic Studies, 78(1), 148–175.
CorporateBonds. (2015). Debiut na catalyst—Mera S.A. [New listing on catalyst—Mera S.A.]. [online] Accessed February 15, 2015, from https://www.corporatebonds.pl/catalyst/519
Damodaran, A. (2007). Finanse korporacyjne. Teoria i praktyka [Corporate finance. Theory and practice], 2nd ed. Gliwice: Onepress Publishing House.
Dębski, W. (2011). Stan i perspektywy rozwoju rynku kapitałowego w Polsce [The state and prospects for the capital market development in Poland]. In K. Jajuga (Ed.), Finanse—nowe wyzwania teorii i praktyki. Rynek finansowy [Finance—New challenges of theory and practice. Financial market] (pp. 76–85). Wrocław: Wrocław University of Economics Publishing House.
Dorion, C., François, P., Grass, G., & Jeanneret, A. (2014). Convertible debt and shareholder incentives. Journal of Corporate Finance, 24, 38–56.
Dutordoir, M., Lewis, C., Seward, J., & Veld, C. (2014). What we do and do not know about convertible bond financing. Journal of Corporate Finance, 24, 3–20.
EurobuildCEE. (2013). Warimpex skutecznie uplasował obligacje zamienne i korporacyjne obligacje zwykłe [Warimpex has successfully placed convertible bonds and corporate ordinary bonds]. [online] Accessed April 24, 2015, from http://www.eurobuildcee.com/?page=news&id=15516&link=-warimpex-skutecznie-uplasowal-obligacje-zamienne-i-korporacyjne-obligacje-zwykle
Frick, R. (2011). Convertible bonds. These hybrids deliver solid income and let you benefit from gains in the issuer’s stock. Kiplinger’s Personal Finance, 65(4), 37.
Gant. (2010). Emisja obligacji [Bond issue]. [online] Accessed March 13, 2015, from http://www.gielda.gant.pl/HeroGraf/struktura%20grupy/WYDARZENIA/6Emisja%20obligacji%2009-2010.pdf
GPW Catalyst. (2015a). Debiut obligacji Mera S.A. [New listing of Mera S.A. bonds]. [online] Accessed February 15, 2015, from http://gpwcatalyst.pl/aktualnosci?ph_main_content_1_start=show&ph_main_content_1_cmn_id=1847
GPW Catalyst. (2015b). Pierwsze notowanie obligacji Marvipol S.A. [First trading day for Marvipol S.A. bonds]. [online] Accessed February 23, 2015, from http://www.gpwcatalyst.pl/aktualnosci?ph_main_content_1_start=show&ph_main_content_1_cmn_id=1464
GPW Catalyst. (2015c). Obligacje zamienne [Convertible bonds]. [online] Accessed March 13, 2015, from http://gpwcatalyst.pl/1240
Grant Thornton. (2013). Raport Catalyst—podsumowanie rozwoju [Catalyst Rapport—Summary of development]. [online] Accessed February 16, 2015, from http://www.gpwcatalyst.pl/pub/files/materialy_do_pobrania/Raport_CATALYST_12_2013.pdf
Jajuga, K. (1997). Instrumenty Finansowe [Financial instruments]. In K. Jajuga, K. Kluziak, & P. Markowski (Eds.), Inwestycje finansowe, [Financial investments] (pp. 11–31). Wrocław: Wrocław University of Economics Publishing House.
Jajuga, K. (2009). Obligacje i akcje, Anatomia sukcesu Instytucje i zasady funkcjonowania rynku kapitałowego [Bonds and shares, anatomy of success, institutions and principles of capital market functioning]. Warsaw: Polish Financial Supervision Authority (KNF).
KNF. (1996). Emisja obligacji zamiennych na akcje [Issue of bonds convertible into shares]. A letter dated 11th October, 1996 r., Securities and Exchange Commission (Poland), Securities and Exchange Commission (Poland) Legal Office PP/024/182/587/96.
KNF. (2009). Obligacje i akcje, Anatomia sukcesu Instytucje i zasady funkcjonowania rynku kapitałowego [Bonds and shares, anatomy of success, institutions and principles of capital market functioning]. Warsaw: Polish Financial Supervision Authority (KNF).
Lewis, C. M., & Veld, C. (2014). Convertible bond financing. Journal of Corporate Finance, 24, 1–2.
Łukasik, G. (2005). Obligacje zamienne i zero kuponowe—szanse i zagrożenia dla przedsiębiorstwa [Convertible and zero-coupon bonds—Chances and threats to an enterprise]. In P. Karpuś & J. Węcławski (Ed.), Rynek finansowy. Szanse i zagrożenia rozwoju [Financial market. Chances and threats to development]. Lublin: M. Curie-Skłodowska University Publishing House.
Mamcarz, H. (2013). Obligacje zamienne—hybrydowy instrument inwestowania kapitału [Convertible bonds—Hybrid instrument of capital investing]. Lublin: Annales Universitatis Mariae Curie—Skłodowska.
Marvipol, S.A. (2011, September). Obligacje zamienna na akcje Marvipol S.A. [Bonds convertible into Marvipol S.A. Shares], Nobles Securities Dom Maklerski, Warsaw. [online] Accessed March 13, 2015, from http://www.marvipol.pl/uploads/relations_news_entry/file/140/prezentacja_marvipol_d_2011.09.16.pdf
maza/lk. (2001). Gant pozyskał 26 mln zł z emisji obligacji zamiennych. [Gant has gained PLN 26 million from issue of convertible bonds]. [online] Accessed March 13, 2015, from http://m.wyborcza.biz/biznes/1,106501,8450105,Gant_pozyskal_26_mln_zl_z_emisji_obligacji_zamiennych.html
MCI Management S.A. (2015a). Grupa MCI. [online] Accessed February 15, 2015, from http://mci.pl/o-mci/grupa-mci/
MCI Management S.A. (2015b). Niepubliczna emisja obligacji zamiennych na akcje MCI Management SA zakończyła się sukcesem [Non-public issue of bonds convertible into shares of MCI Management SA successfully completed]. [online] Accessed February 23, 2015, from http://mci.pl/niepubliczna-emisja-obligacji-zamiennych-na-akcje-mci-management-sa-zakonczyla-sie-sukcesem/
Miraculum. (2015). Miraculum S.A.—Emisja obligacji zamiennych serii AAA (105/2013). [Issue of convertible bonds of the series AAA (105/2013)]. [online] Accessed April 24, 2015, from Miraculum, MIRACULUM-SA-Emisja-obligacji-zamiennych-serii-AAA
Onet Biznes. (2012, September 19). MCI: Spłata obligacji MCI Management S.A. [MCI: Bond repayment of MCI Management S.A.]. [online] Accessed February 23, 2015, from http://biznes.onet.pl/gielda/komunikaty-espi-ebi/mci-splata-obligacji-mci-management-sa,158254,1,komunikaty-detal.html
Onet Biznes. (2013). Warimpex wyemitował obligacje zamienne o wartości 26.5 mln zł, [Warimpex has issued convertible bonds of PLN 26.5 million]. [online] Accessed March 13, 2015, from http://biznes.onet.pl/gielda/wiadomosci/warimpex-wyemitowal-obligacje-zamienne-o-wartosci-26-5-mln-zl/q7h0j
Pieniadz. (2011). Zakończenie subskrypcji obligacji serii A—nota informacyjna [Completion of bond of series a subscription—Information note]. [online] Accessed April 24, 2015, from http://www.newconnect.pieniadz.pl/MEW,komunikat,25-17180-1-28.html
Poślad, M., Thiel, S., & Zwoliński, T. (2006). Akcje i obligacje korporacyjne—oferta publiczna i rynek regulowany [Corporate shares and bonds—Public offering and regulated market]. Warsaw: Securities and Exchange Commission (Poland).
Puls Biznesu. (2010, February 16). Justification of an extraordinary general meeting of Mera Schody SA with its registered seat in Lewin Brzeski.th. [online] Accessed February 15, 2015, from http://newconnect.pb.pl/2026214,81552,mera-skonwertuje-obligacje-i-wejdzie-na-gpw
Rubicon Partners. (2013a). Wykup I umorzenie obligacji zamiennych serii B Spółki Rubicon Partners NFI S.A. [Redemption of convertible bonds of series B of Rubicon Partners NFI S.A.]. [online] Accessed March 13, 2015, from http://www.rubiconpartners.pl/pl/relacje-inwestorskie/aktualnosci/38-2013-aktualnosci/243-wykup-i-umorzenie-obligacji-zamiennych-serii-b-spolki-rubicon-partners-nfi-sa20130212.html
Rubicon Partners. (2013b). Wykup,umorzenie wszystkich obligacji zamiennych serii B spółki Rubicon Partners S.A. [Redemption of all convertible bonds of series B of Rubicon Partners S.A.]. [online] Accessed March 13, 2015, from http://www.rubiconpartners.pl/pl/relacje-inwestorskie/aktualnosci/38-2013-aktualnosci/256-wykupumorzenie-19042013.html
Schulman, A. (2014). Contingent convertible bonds. A case study in using and accounting for a hybrid instrument. The CPA Journal, 84(6), 52–56.
Sobolewski, L. (1999). Obligacje i inne papiery dłużne [Bonds and other bond securities]. Warsaw: C. H. Beck Publishing House.
Warimpex. (2011). Press release. [online] Accessed April 24, 2015, from http://www.warimpex.com/~/media/Files/W/Warimpex-V2/pdf/polish/press-releases/110427_Warimpex%20-%20komunikat%20prasowy%20-%20emisja%20obligacji
Wirtualna Polska. (2013). Miraculum S.A.—Emisja obligacji zamiennych serii AAA (105/2013) [Miraculum S.A.—Issue of convertible bonds of series AAA (105/2013)]. [online] Accessed April 24, 2015, from http://finanse.wp.pl/kat,1037219,title,MIRACULUM-SA-Emisja-obligacji-zamiennych-serii-AAA-1052013,wid,16292304,wiadomosc.html?ticaid=114cc3
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2017 Springer International Publishing Switzerland
About this paper
Cite this paper
Kołosowska, B., Huterska, A. (2017). The Issue of Convertible Bonds on the Polish Bond Market Catalyst in the Years 2009–2013. In: Bilgin, M., Danis, H., Demir, E., Can, U. (eds) Financial Environment and Business Development. Eurasian Studies in Business and Economics, vol 4. Springer, Cham. https://doi.org/10.1007/978-3-319-39919-5_5
Download citation
DOI: https://doi.org/10.1007/978-3-319-39919-5_5
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-319-39918-8
Online ISBN: 978-3-319-39919-5
eBook Packages: Business and ManagementBusiness and Management (R0)