Dürr AG issues another sustainability Schuldschein loan

Press Release Dec 14, 2020

- 6.25 years average maturity

- 2.0% interest rate

- Sustainability-oriented financing course continued

Bietigheim-Bissingen, December 14, 2020 – Dürr AG has successfully issued its third sustainability-oriented Schuldschein loan. With the proceeds of € 200 million, Dürr AG was able to complete the refinancing of financial liabilities due in the coming year ahead of schedule, after it had already issued a convertible bond for € 150 million in September. As was the case with the two Schuldschein loans issued previously, the interest rate is again linked to the Dürr Group’s sustainability rating. The average interest rate is 2.0%, thus significantly lower than for comparable financing instruments. The proceeds of € 200 million will accrue to Dürr AG in January 2021 and therefore have no effect on the net financial position at the end of 2020.

The Schuldschein loan is divided into tranches with maturities of up to 10 years, with the average maturity being 6.25 years. The issuance will be used to refinance a € 300 million corporate bond repayable in April 2021. Dietmar Heinrich, CFO of Dürr AG: “We were able to close the current refinancing round early and secure our long-term financing on favorable terms. We therefore continue to have a solid liquidity position and, in addition, a balanced maturity profile. This will allow us to fully focus on our operational business and the growth opportunities following the corona pandemic.”

The Schuldschein loan was subscribed by major international banks as well as by regional savings and cooperative banks. In addition to Dürr AG’s good credit quality, the sustainability component associated with the Schuldschein loan was also attractive to investors. The interest rate drops or rises depending on whether the Dürr Group’s sustainability rating improves or decreases. The rating, prepared by the EcoVadis agency, takes into account, for example, key sustainability figures such as CO₂ emissions and water consumption, but also aspects such as fair working relationships as well as conditions at suppliers. CFO Dietmar Heinrich: “More and more investors are placing emphasis not only on economic performance but also on sustainable management. We want to live up to this expectation. Sustainability is an important strategic guiding principle for the further development of our company – whether in product innovations, acquisitions or financing.”

The lead arrangers were DZ BANK AG, LBBW and UniCredit Bank AG. The Schuldschein loan was in part issued via the DEBTVISION digital platform. Dürr AG received legal support from the Freshfields Bruckhaus Deringer law firm.

Press photos

Dietmar Heinrich portrait — **Dietmar Heinrich**
Chief Financial Officer of Dürr AG

air emissions control technologies from above — Production processes generate exhaust gases, fumes and waste products, which – unless cleaned – can damage the environment. Dürr’s exhaust-air purification systems remove waste gases, fumes and contaminants from exhaust air, and the cleaned air is then released back into the atmosphere.

About Dürr

The Dürr Group is one of the world's leading mechanical and plant engineering firms with extensive expertise in automation and digitalization/Industry 4.0. Its products, systems and services enable highly efficient manufacturing processes in different industries. The Dürr Group supplies sectors like the automotive industry, mechanical engineering, chemical, pharmaceutical and woodworking industries. It generated sales of € 3.92 billion in 2019. The company has around 16,200 employees and 112 business locations in 33 countries. The Group operates in the market with the brands Dürr, Schenck and HOMAG and with five divisions:

Paint and Final Assembly Systems: paint shops as well as final assembly, testing and filling technology for the automotive industry
Application Technology: robot technologies for the automated application of paint, sealants and adhesives
Clean Technology Systems: air pollution control, noise abatement systems and coating systems for battery electrodes
Measuring and Process Systems: balancing equipment and diagnostic technology
Woodworking Machinery and Systems: machinery and equipment for the woodworking industry

Disclaimer

This publication has been prepared independently by Dürr AG/Dürr group. It may contain statements which address such key issues as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks, uncertainties and other factors, including, but not limited to those described in disclosures of Dürr AG, in particular in the chapter “Risks” in the annual report of Dürr AG. Should one or more of these risks, uncertainties and other factors materialize, or should underlying expectations not occur or assumptions prove incorrect, actual results, performances or achievements of the Dürr group may vary materially from those described in the relevant forward-looking statements. These statements may be identified by words such as “expect,” “want,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “project” or words of similar meaning. Dürr AG neither intends, nor assumes any obligation, to update or revise its forward-looking statements regularly in light of developments which differ from those anticipated. Stated competitive positions are based on management estimates supported by information provided by specialized external agencies.

Our financial reports, presentations, press releases and ad-hoc releases may include alternative financial metrics. These metrics are not defined in the IFRS (International Financial Reporting Standards). Net assets, financial position and results of operations of the Dürr group should not be assessed solely on the basis of these alternative financial metrics. Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the IFRS. The calculation of alternative financial metrics may vary from company to company despite the use of the same terminology. Further information regarding the alternative financial metrics used at Dürr AG can be found in our → financial glossary on the web page.