Provided by six banks, the credit facility will initially have a term of one year but may be renewed by Dürr AG twice for a further six-month period at a time. The corporate bond for € 300 million issued in 2014 will be maturing in April 2021. At the same time, a tranche of € 50 million under the Schuldschein loan issued in 2016 will also be due for repayment. If Dürr AG is unable to arrange any long-term follow-up finance in the capital market in sufficient time as a result of the corona crisis, it can still fall back on this facility. The banking syndicate is composed of BNP Paribas, Commerzbank Aktiengesellschaft, Deutsche Bank, LBBW, Santander and UniCredit. Dürr AG was advised on legal matters by Freshfields Bruckhaus Deringer and the banks by Hengeler Mueller.
The Dürr Group is well positioned to withstand the financial strain expected to come from the corona pandemic. In addition to total liquidity of around € 850 million, it has an additional unused credit facility of € 500 million, which was arranged in the previous year. Says Ralf W. Dieter, CEO of Dürr AG: “We have sufficient liquidity to assert ourselves effectively in the current difficult environment. The credit facility that has now been arranged will broaden the scope we have for comfortably organizing suitable long-term finance.”
The new credit facility is Dürr AG’s second funding transaction this year. At the beginning of April it received proceeds of € 115 million from the issue of a sustainability Schuldschein loan, primarily using this amount to refinance legacy financial liabilities from 2016 on more advantageous terms. The average coupon on the sustainability Schuldschein loan is 0.9% and is tied to the Group’s sustainability rating.