Peugeot S.A. (ENXTPA:UG) announced that it intends to conduct a private placement of common shares for gross proceeds of €1,500,000,000 on January 19, 2014. The transaction will include participation from new investors, Dongfeng Motor Group Company Limited and SOGEPA, an entity held by the Republic of France, which will invest at least €750,000,000 each in the transaction to acquire 14% stake each in the company through this transaction. The company will issue the share at a price of between €7.5 and €8 per share. On the same day, the board of directors of the company and the oversight committee approved the transaction. The company expects to receive the final agreement for the transaction by February 19, 2014. A team led by Thierry Schoen, and including Tim Wang, Kelly Gregory, Yi Yang, Hong Zhang, Arnaud Félix, Sue Palmer, Emmanuel Durand, and Kelly Gregory from Clifford Chance will act as the legal advisors to Dongfeng Motor Group Company Limited. Benita Yu, Frank Bi, and Kevin Ip of Slaughter and May will act as legal advisors to Dongfeng Motor Group Company Limited.

On February 5, 2014, the company announced that supervisory board meeting will be held on February 18, 2014. On closing of the transaction, each of the investors including the Peugeot family will approximately hold equal stakes in the company.

On February 17, 2014, the company announced that the company's founding family has approved the recapitalization transaction. The company also announced that the shares will be issued at €7.50 per share. The transaction is subject to shareholders' and board of directors' approval. The company will sign a memorandum of understanding on a capital tie-up with the investors on February 18, 2014.

On February 18, 2014, the company signed the memorandum of understanding with the investors. The company also announced that it will issue 139,733,333 shares at a price of €7.5 per share for gross proceeds of €1,048,000,000. Dongfeng Motor Group Company Limited and SOGEPA will each subscribe for 69,866,666 shares and thereby invest €523,999,995 in the transaction respectively. Two representatives from each investor will join the company's board of directors. The memorandum of understanding will terminate on July 31, 2014. The transaction has been approved by the board of directors and by the supervisory board of the company. Lazard Ltd. will act as financial advisor to Dongfeng Motor Group Company Limited. The company and the investors will sign a legally-binding agreement by the end of March 2014. The transaction is expected to close in or around second quarter of 2014. As a part of the transaction, both the investors will appoint a representative on the company's supervisory board.

On the same day, the company also announced that Matthieu Pigasse, Jean-Louis Girodolle, and Guillaume Molinier of Lazard Ltd. will act as financial advisors to Dongfeng Motor Group Company Limited. Philippe Couderc and Thierry Charpentier of PwC TS will act as the financial due diligence advisors to Dongfeng Motor Group Company Limited. Fabien Radisic of Landwell will act as the tax related advisor to Dongfeng Motor Group Company Limited. Bank of America Merrill Lynch will act as the financial advisor to SOGEPA. Dominique Bompoint of Bompoint Avocats along with Antoine Bonnasse and Antoine Gosset-Grainville of BDGS Associés will act as the legal advisors to SOGEPA. Morgan Stanley and Rothschild & Cie will act as the financial advisors to Peugeot S.A. Benjamin Kanovitch, Olivier Saba, Kate Romain, Florence Haas, Cécile Airault, Clément Smadja, Jing Wei, Simon Lange, Jean-Benoît Demaret, Jean-Damien Boulanger , Julien Sanciet, Raphaël Darmon, Charlotte Bonsch, Olivier Billard, Guillaume Fabre, Yohann Chevalier, Yves Rutschmann, Anne Robert, Marion Méresse, Jerome Cordier, Laurent Sultan, Samuel Pariente, Yves Rutschmann, and Pascale Lagesse of Bredin Prat will act as the legal advisors to Peugeot S.A. Jun He Law Offices, Hengeler Mueller, and Bonelli Erede Pappalardo will also act as the legal advisors to Peugeot S.A. Yoël Zaoui of Zaoui & Co will act as the financial advisor to existing investor of the company, Societe Fonciere, Financiere et de Participations - FFP. Jean-Pierre Martel and Etienne Boursican of Orrick Rambaud Martel will act as the legal advisors to Societe Fonciere, Financiere et de Participations - FFP. JP Morgan will act as the financial advisor and Henri Brandford Griffith of Brandford-Griffith along with Cleary Gottlieb will act as the legal advisors to Thierry Peugeot, Chairman of Supervisory Board of the company.

On February 20, 2014, the company announced at the general shareholders' assembly of the company that SOGEPA, Dongfeng Motor Group Company Limited, and the Peugeot family will hold an equal stake in the company of 14.1% pursuant to the transaction. Foncière, Financière et de Participations and its parent, Etablissements Peugeot Freres SA, will represent the company, the French State, and the Peuge