- ESG-linked syndicated loan of €240 million concluded with a minimum term of five years
- Refinancing of the 2017 syndicated loan at attractive conditions
- Expansion of flexibility for the targeted profitable company growth
Vossloh AG has signed a syndicated loan agreement that replaces an existing loan agreement from 2017. The new syndicated loan of €240 million has been structured as a revolving credit line so that the funds can be drawn flexibly and as needed. The loan amount can also be increased by up to €160 million. The financing agreement has a term of five years until February 2029 and provides for two one-year extension options. These can be exercised at the end of the first and second year of the loan agreement. The long term and high flexibility provide a solid financial basis for the Vossloh Group's targeted profitable growth.
A key feature of the new financing agreement is the linking of the interest margin to the conformity rate of taxonomy-aligned sales in accordance with the EU Taxonomy Regulation – a standardized classification system for sustainable economic activities – in the form of a bonus-malus scheme. This underlines the importance of sustainability for Vossloh and is an expression of the company's objective to further improve its excellent ESG performance in the future.
Dr. Thomas Triska, CFO of Vossloh AG: "The successful refinancing of our syndicated loan at attractive conditions reflects the strength and confidence that Vossloh enjoys in the financial world, not least after the great operational successes of recent years. Rail is by far the most environmentally friendly mode of mass transportation and will therefore continue to gain in importance worldwide in the coming years. The new syndicated loan agreement provides the means to successfully implement our strategy in this attractive market environment and to create added value for our shareholders."
The new syndicated loan was provided by a group of eight banks in form of a club deal. Commerzbank AG acted as documentation agent for the transaction and Bayerische Landesbank acted as ESG coordinator. Landesbank Baden-Württemberg (LBBW) will continue to act as facility agent over the term of the loan.