Heraeus successfully issued a 500 million euro bond on 9 June. The term is five years. The net proceeds will be used for general corporate purposes, including the refinancing of the bridge financing from the Norwood acquisition. This marks the family-owned company's return to the capital market after five years.
The step opens up further financing options for the Hanau-based technology group in the future as well. Due to the timely hedging strategy, the bond could be issued at terms favourable to Heraeus despite a challenging market environment with recently steadily rising interest rates due to fears of inflation and war. "We have thus created a balanced financing profile that supports our very good external rating by Moody's and S&P and provides us with flexibility and headroom for further growth," said Rolf Wetzel, CFO of the Heraeus Group.
Commerzbank, Deutsche Bank, ING and UniCredit have been appointed as Joint Active Bookrunners. The bond is unsecured and ranks pari passu with Heraeus Holding's other financial liabilities. The bond was rated Baa1 by Moody's and BBB+ by S&P and is exclusively targeted at institutional investors.