Printing press manufacturer Koenig & Bauer has signed a contract for a syndicated credit facility, which will be used to facilitate its targeted growth aims.
Koenig & Bauer stated that it is widening its financial scope for stepping up its profitable growth and for utilizing strategic options. In addition to a guarantee facility of 200 million EUR (248 million USD), the syndicated finance includes a revolving cash credit facility of 150 million EUR (186 million USD) with an option to increase it by 50 million EUR (62 million USD). The facilities have a term of five years plus two one-year renewal options up until December 2024. The group-wide financing facility also entails local operating credit lines at various subsidiaries.
Koenig & Bauer CFO Dr Mathias Dähn explained: ‘Koenig & Bauer has strong liquidity fuelled by its operating cash flow that we want to expand step by step. We have now made use of the current favourable market conditions to optimize our credit facilities and to realign them on a long-term basis. With our good credit rating underpinned by a strong balance sheet and the progress that we have made in growing our top line and profits, we have been able to secure favourable terms and good underlying conditions.
‘Our own liquidity together with the flexible credit facilities will allow us to finance our targeted organic growth in packaging, digital and industrial printing, while also giving us financial scope for strategic investments and acquisitions.’
The banking syndicate is lead-managed and arranged by UniCredit Bank AG and Commerzbank Aktiengesellschaft, and also includes Bayerische Landesbank, Deutsche Bank, HSBC Trinkaus & Burkhardt, LBBW, BNP Paribas and DZ Bank.
‘This renowned group of syndicate banks gives us the mix of international and national banking partners that we require for our future growth,’ added Dähn.
Currency conversions via xe.com/ucc and correct as of 08:40 on 25 January, 2018