Publicis will use the cash raised through the bond issue to help reduce its debt and cut financing costs.
At 9am, shares in Publicis, the world's sixth-largest advertising group, were down 6.66% at €28.47. The bond is a 16-year bond convertible into new or existing shares. The bond is said to have been promoted by low interest rates and recovering stock markets.
Yesterday, Publicis offered an "extremely cautious" outlook about its forecast for 2002, but remained confident it could reach its revised targets for 2001.
However, Publicis chairman Maurice Levy said he was confident that the group will reach its expected 17% earnings before interest, taxes, depreciation and amortisation margin.
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