DGAP-News: VTG Aktiengesellschaft / Key word(s): Financing
VTG Aktiengesellschaft: VTG concludes refinancing with considerably improved
terms
12.01.2016 / 10:06
The issuer is solely responsible for the content of this announcement.
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VTG concludes refinancing with considerably improved terms
- EUR 1.2 billion refinancing volume
- Terms between 5 and 7 years
- Group interest rate decreases significantly
- Improved conditions lead to annual savings of EUR 10 million
Hamburg, January 12, 2016. VTG Aktiengesellschaft (WKN: VTG999), one of
Europe's leading wagon hire and rail logistics companies, has refinanced a
large proportion of its existing bank loans. In this process, the company
has concluded new financial agreements for approximately EUR 1.2 billion
with an international banking consortium led by KfW IPEX-Bank and
UniCredit. This equates to about two thirds of VTG's total financial
liabilities. Due to the current low level of interest rates and improved
creditworthiness, the Group's average interest rate has fallen
significantly. This will lead to noticeable relief in the interest costs
for the years ahead. This financing further includes the conclusion of a
new credit and guarantee line, in an amount of some EUR 300 million, which
increases VTG's flexibility for further growth-related investments.
"The new financing structure allows us to benefit from the current low
level of interest rates, while consolidating and standardizing the credit
structures of both VTG and the acquired AAE Group," explained Mark
Stevenson, member of the Executive Board responsible for Treasury,
Financing and Taxes and added: "This represents an important step towards
attaining the medium-term financial targets we have set for 2018."
In the course of refinancing the EUR 1.2 billion, VTG worked with a
consortium of twelve international banks. VTG has long-standing business
relations with the two institutions which are managing the syndicate,
namely KfW IPEX-Bank and UniCredit, whose structuring expertise allowed
them to implement the complex financing process in cooperation with the
other banks and investors.
VTG's new financing arrangement comprises two principle elements, namely a
credit line of EUR 500 million with a seven-year term and a further credit
line of EUR 400 million with a term of up to five years, both lines
financed by a single syndicate of banks. These credit lines replace the
majority of the Group's previous financings. In addition, a credit line of
EUR 300 million with a three-year term, also financed through the bank
consortium, ensures VTG flexibility for future growth.
Through its refinancing VTG is able to make annual savings of EUR 10
million. One-off extraordinary expenses amounting to EUR 7.0 million will
be reflected in the consolidated financial statements for the 2015
financial year.
"Acquiring AAE has not only enabled our fleet to expand considerably, but
it has also substantially broadened our funding framework", said Dr. Heiko
Fischer, CEO of VTG Aktiengesellschaft, commenting on the transaction. "The
new financing agreement gives us a foundation for increasing profitability
and, in turn, achieving our financial objectives", he added.
About VTG:
VTG Aktiengesellschaft is one of Europe's leading wagon hire and rail
logistics companies, with a fleet consisting of more than 80,000 railcars.
VTG offers a full-range service, providing tank cars, intermodal wagons,
standard freight wagons and sliding wall wagons. In addition to the hiring
of wagons, the Group offers comprehensive multi-modal logistics services,
mainly around rail transport, and global tank container transports.
With the combination of its three interlinked divisions Railcar, Rail
Logistics and Tank Container Logistics, VTG offers its customers a
high-performance platform for international transport of their freight. The
Group has many years of experience and specific expertise, in particular in
the transport of liquid and sensitive goods. Its customers include numerous
well-known companies from almost every industrial sector, for example the
chemical, petroleum, automotive, paper and agricultural industries.
For the financial year 2015, VTG expects to achieve Group revenue of
between EUR 1 and 1,1 billion and operating profit (EBITDA) of between EUR
325 und 350 million. Via its subsidiaries and affiliates the company, which
has its head office in Hamburg, is mainly present in Europe, Asia, Russia
and North America. As at 30 September 2015, VTG had 1,444 employees
worldwide in consolidated companies. Since June 2007, VTG AG has been
listed on the official Prime Standard market of the Frankfurt Stock
Exchange and also on the SDAX (WKN: VTG999).
Press contact:
Monika Gabler
Head of Corporate Communications
Telephone: +49 (0) 40 23 54-1341
Fax: +49 (0) 40 23 54-1340
E-mail: monika.gabler@vtg.com
Investor Relations contact:
Christoph Marx
Head of Investor Relations
Telephone: +49 (0) 40 23 54-1351
Fax: +49 (0) 40 23 54-1350
E-mail: christoph.marx@vtg.com
For more information visit www.vtg.com
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12.01.2016 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
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Language: English
Company: VTG Aktiengesellschaft
Nagelsweg 34
20097 Hamburg
Germany
Phone: 040 2354 1351
Fax: 040 2354 1350
E-mail: ir@vtg.com
Internet: www.vtg.de
ISIN: DE000VTG9999
WKN: VTG999
Indices: SDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover,
Munich, Stuttgart
End of News DGAP News Service
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428515 12.01.2016
DGAP-News: VTG Aktiengesellschaft: VTG concludes refinancing with considerably improved terms
| Quelle: EQS Group AG