03/27/2018
Heidelberger Druckmaschinen AG (Heidelberg) has further optimized its financing structure and agreed a new syndicated credit line with improved conditions with its banking group. By taking out the credit line with a higher total of €320 million and a term that runs till March 2023, the company is creating financial flexibility and longer-term planning certainty. Besides supporting the day-to-day operational business of the global organization, the new credit facility underpins the strategy of further expanding new digital business models, such as the newly established subscription portfolio.
“This refinancing is another sign of the banks’ confidence in our strategic roadmap to a digital future,” said Dirk Kaliebe, CFO of Heidelberg. “The financial basis for our new digital technologies and business models has been secured for the long term. We have numerous options at our disposal for driving forward our growth strategy. At the same time, we are able to further reduce interest costs by optimizing the financial framework.”
The new credit line also gives Heidelberg more flexibility to pay off a proportion of the existing 8% bond due in 2022 ahead of time and under more advantageous conditions. Heidelberg is planning to reduce its financing interest by close to half to around €20 million in the medium term.
Due to the newly syndicated credit line, Heidelberg has further improved its financing structure in terms of the maturity profile and conditions. The financial framework thus consists primarily of the newly syndicated credit line for €320 million that runs till March 2023, a convertible bond for €59 million that runs till March 2022, a bond for €204 million that runs till May 2022 but can be redeemed prematurely, and an EIB loan for €100 million that runs till 2024. Heidelberg has therefore agreed a financial framework for its business development that is very solid but also flexible. The diversified financing structure is still based on the three pillars of credit facility, capital market, and special financing.
The broad-based banking consortium behind the credit facility comprises the six main lenders Bank of China, BNP Paribas, Commerzbank, Deutsche Bank, HSBC, and LBBW. Completing the consortium are DZ Bank, IKB, NIBC, and Saar LB.
Heidelberg IR now on Twitter:
Link to the IR Twitter channel: https://twitter.com/Heidelberg_IR
On Twitter under the name: @Heidelberg_IR
Other dates:
The Annual Accounts Press Conference for 2017/18 is scheduled for June 12, 2018.
This press release contains forward-looking statements based on assumptions and estimations by the Management Board of Heidelberger Druckmaschinen Aktiengesellschaft. Even though the Management Board is of the opinion that those assumptions and estimations are realistic, the actual future development and results may deviate substantially from these forward-looking statements due to various factors, such as changes in the macro-economic situation, in the exchange rates, in the interest rates and in the print media industry. Heidelberger Druckmaschinen Aktieng-esellschaft gives no warranty and does not assume liability for any damages in case the future development and the projected results do not correspond with the forward-looking statements contained in this press release.
Thomas Fichtl
Press Spokesperson – Corporate and Amperfied
Tel.: +49 (0)6222 82 67123
Email: thomas.fichtl@heidelberg.com
Robin Karpp
Head of Investor Relations and Group Communications
Tel.: +49 (0)6222 82 67120
Fax.: +49 (0)6222 82 67129
Email: robin.karpp@heidelberg.com
03/27/2018
Heidelberger Druckmaschinen AG (Heidelberg) has further optimized its financing structure and agreed a new syndicated credit line with improved conditions with its banking group. By taking out the credit line with a higher total of €320 million and a term that runs till March 2023, the company is creating financial flexibility and longer-term planning certainty. Besides supporting the day-to-day operational business of the global organization, the new credit facility underpins the strategy of further expanding new digital business models, such as the newly established subscription portfolio.
“This refinancing is another sign of the banks’ confidence in our strategic roadmap to a digital future,” said Dirk Kaliebe, CFO of Heidelberg. “The financial basis for our new digital technologies and business models has been secured for the long term. We have numerous options at our disposal for driving forward our growth strategy. At the same time, we are able to further reduce interest costs by optimizing the financial framework.”
The new credit line also gives Heidelberg more flexibility to pay off a proportion of the existing 8% bond due in 2022 ahead of time and under more advantageous conditions. Heidelberg is planning to reduce its financing interest by close to half to around €20 million in the medium term.
Due to the newly syndicated credit line, Heidelberg has further improved its financing structure in terms of the maturity profile and conditions. The financial framework thus consists primarily of the newly syndicated credit line for €320 million that runs till March 2023, a convertible bond for €59 million that runs till March 2022, a bond for €204 million that runs till May 2022 but can be redeemed prematurely, and an EIB loan for €100 million that runs till 2024. Heidelberg has therefore agreed a financial framework for its business development that is very solid but also flexible. The diversified financing structure is still based on the three pillars of credit facility, capital market, and special financing.
The broad-based banking consortium behind the credit facility comprises the six main lenders Bank of China, BNP Paribas, Commerzbank, Deutsche Bank, HSBC, and LBBW. Completing the consortium are DZ Bank, IKB, NIBC, and Saar LB.
Heidelberg IR now on Twitter:
Link to the IR Twitter channel: https://twitter.com/Heidelberg_IR
On Twitter under the name: @Heidelberg_IR
Other dates:
The Annual Accounts Press Conference for 2017/18 is scheduled for June 12, 2018.
This press release contains forward-looking statements based on assumptions and estimations by the Management Board of Heidelberger Druckmaschinen Aktiengesellschaft. Even though the Management Board is of the opinion that those assumptions and estimations are realistic, the actual future development and results may deviate substantially from these forward-looking statements due to various factors, such as changes in the macro-economic situation, in the exchange rates, in the interest rates and in the print media industry. Heidelberger Druckmaschinen Aktieng-esellschaft gives no warranty and does not assume liability for any damages in case the future development and the projected results do not correspond with the forward-looking statements contained in this press release.
Press Spokesperson – Corporate and Amperfied
Tel.: +49 (0)6222 82 67123
Head of Investor Relations and Group Communications
Tel.: +49 (0)6222 82 67120
Tel.: +49 (0)6222 82 67129
