The specialty chemicals group ALTANA has secured a promissory note loan totaling 180 million euros. The transaction, which was placed with around 70 German and international investors, was oversubscribed several times. In response to the robust demand during the borrowing process, the initial volume of 100 million euros was increased to 180 million euros. The promissory note loan is divided into tranches with maturities spanning three, five, and seven years.
The tranches encompass both variable and fixed interest rates. Thanks to the substantial interest in this transaction, it was possible to set the interest rate at the lower end of the marketing range, resulting in an average fixed interest rate of 4.40 percent per annum. The placement was conducted through Deutsche Bank and Landesbank Baden-Württemberg.
"We are delighted with the great response," stated Stefan Genten, Chief Financial Officer of ALTANA AG. "This not only reaffirms our resilient business model, especially in economically challenging times, but also acknowledges our dedication to climate protection, energy efficiency, and occupational safety."
As a sustainability-linked loan ("ESG-linked loan"), the amount of the interest rate is also contingent upon the attainment of certain sustainability targets of the ALTANA Group and thus on the company's performance with regard to environmental, social, and corporate control processes (ESG for short).
"The promissory note loan fits excellently into our existing financing structure," said Claudia Uhlich, Head of Group Treasury at ALTANA AG. "We have further diversified our financing sources and were able to tailor the individual tranches exactly to our specific requirements."
The recently placed promissory note loan supports ALTANA’s overall corporate financing and serves as the foundation for the company’s further, sustainable growth.
In 2021, ALTANA had already established a credit line with a sustainability component in collaboration with a consortium of house banks as well as a loan from the European Investment Bank (EIB) designated for green research projects. By doing so, ALTANA completely renewed the Group’s long-term financing.
The tranches encompass both variable and fixed interest rates. Thanks to the substantial interest in this transaction, it was possible to set the interest rate at the lower end of the marketing range, resulting in an average fixed interest rate of 4.40 percent per annum. The placement was conducted through Deutsche Bank and Landesbank Baden-Württemberg.
"We are delighted with the great response," stated Stefan Genten, Chief Financial Officer of ALTANA AG. "This not only reaffirms our resilient business model, especially in economically challenging times, but also acknowledges our dedication to climate protection, energy efficiency, and occupational safety."
As a sustainability-linked loan ("ESG-linked loan"), the amount of the interest rate is also contingent upon the attainment of certain sustainability targets of the ALTANA Group and thus on the company's performance with regard to environmental, social, and corporate control processes (ESG for short).
"The promissory note loan fits excellently into our existing financing structure," said Claudia Uhlich, Head of Group Treasury at ALTANA AG. "We have further diversified our financing sources and were able to tailor the individual tranches exactly to our specific requirements."
The recently placed promissory note loan supports ALTANA’s overall corporate financing and serves as the foundation for the company’s further, sustainable growth.
In 2021, ALTANA had already established a credit line with a sustainability component in collaboration with a consortium of house banks as well as a loan from the European Investment Bank (EIB) designated for green research projects. By doing so, ALTANA completely renewed the Group’s long-term financing.
