Jenoptik restructures its long-term financing
- Debenture loans successfully topped up from 90 million euros to 125 million euros
- Syndicated loan increased to 230 million euros
- Enhanced financing structure increases flexibility and secures liquidity for future growth
The Jenoptik Group has successfully placed new debenture loans. Investor interest in the issue was very high. Especially existing creditors took advantage of the exchange offer and extended their existing debenture loans which were issued in 2011.
The volume of placed debenture loans, including the existing loans from the transaction in 2011, increased from 90 million euros to 125 million euros. The newly issued loans have a term of five and seven years and have variable and fixed interest rates. The high demand meant that the interest rate for each of the four new tranches was able to be set at the lower end of the marketing range, well below the level for the transaction in 2011. The issuance of the debenture loans allows Jenoptik to continue to ensure that the maturity of its financial structure is positioned in the medium to long-term range. The proceeds from the transaction will be used to prematurely repay the majority of the existing debenture loans issued in 2011. The transaction was managed by Commerzbank, Landesbank Baden-Württemberg and Landesbank Hessen-Thüringen as well as UniCredit.
Moreover, the existing syndicated loan was extended and increased from 120 million to 230 million euros already at the end of March this year. This allows the Jenoptik Group to secure a line of credit at attractive conditions for the next five years. Besides the existing syndicate banks (BNP Paribas, Commerzbank, Deutsche Bank, Helaba, LBBW/Sachsenbank, UniCredit), Jenoptik improved its access to the international banking network with the addition of HSBC and DZ Bank to the group of banks. The funds from the syndicated loan can be flexibly used to finance general company purposes.
“The transaction of the new capital instruments allows us to take advantage of the currently very favorable capital market environment and strengthen our financing structure. This secures our financial scope and the flexibility to implement our international growth strategy”, explains Jenoptik President & CEO Michael Mertin. CFO Hans-Dieter Schumacher adds: “The huge response to our refinancing in the current market environment confirms the stability of the Group. The maturity structure and the conditions also reflect the financial strength of Jenoptik and the confidence in the continued development of the company.”