Swiss specialty chemicals maker Clariant has launched a rights issue to help fund its €1.4 billion ($2 billion) acquisition of German group Süd-Chemie.

Up to 23 million new shares will be offered to existing shareholders at a ratio of 1 new share for every 10 already held, Clariant said, with any stock not taken up to be sold in a public offering and private placement to new investors.

Analysts said the number of shares being issued was slightly lower than expected, meaning the share dilution would be less than anticipated.

"The company is issuing up to 23 million new shares versus our previous estimate of 26 million new shares. The lower-than-projected number of shares thus offers a small upside of 1 percent to our earning per share numbers," Helvea analyst Martin Flueckiger said.

The subscription period for the fundraising will run from April 11 to April 15, the company said on Thursday.

A price for the offering is expected to be set on April 18 following a bookbuilding period for the unsubscribed shares.

In February, Clariant said it was issuing new shares in a 1.1 billion Swiss franc capital increase to help it finance the deal. It will exchange 700 million francs worth of shares with Süd-Chemie family shareholders.

Clariant also said at the time that the capital hike included a 400 million franc rights issue, roughly 10% of Clariant's market capitalization.

Morgan Stanley is acting as sole global coordinator. Credit Suisse and Morgan Stanley are acting as joint bookrunners of the rights issue and international offering, with BNP, Citibank, Commerzbank, SEB and Unicredit acting as joint lead managers.

Clariant also said on Thursday it had seen steady demand so far this year.

"Overall, the beginning of 2011 was marked by a stable demand and growth in local currency terms and an improved profitability in line with Clariant's 2011 guidance," chief executive Hariolf Kottmann said.