2016-09-29 | Cologne – LANXESS announced today that it has successfully placed two Euro benchmark bonds on the European capital market for the financing of the planned acquisition of the US-based specialty chemicals group Chemtura.
Each of the eurobonds has a volume of EUR 500 million. One has a 5-year term and a 0.25% coupon, the other a 10-year term and a 1.0% coupon. Both eurobonds are listed on the Luxembourg Stock Exchange and will be traded in denominations of EUR 1,000 nominal value.
“The quick and successful placement of the two bonds confirms our high credit-worthiness and our good access to the capital markets,” said Michael Pontzen, Chief Financial Officer of LANXESS. “With this placement we were able to take advantage of the currently favorable market environment for corporate bonds. In this way we are already replacing a portion of the bridge financing for the planned acquisition of Chemtura at attractive terms,” said Oliver Stratmann, head of Treasury and Investor Relations at LANXESS.
The placement of the bonds attracted wide interest by national and international investors and was significantly oversubscribed.
The bonds were placed by a consortium comprising J.P. Morgan, Barclays, Citi, Commerzbank and UniCredit.
LANXESS is a leading specialty chemicals company with sales of EUR 7.9 billion in 2015 and about 16,700 employees in 29 countries. The company is currently represented at 55 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of chemical intermediates, specialty chemicals and plastics. Through ARLANXEO, the joint venture with Saudi Aramco, LANXESS is also a leading supplier of synthetic rubber. LANXESS is listed in the leading sustainability indices Dow Jones Sustainability Index (DJSI World) and FTSE4Good.
This company release contains certain forward-looking statements, including assumptions, opinions and views of the company or cited from third party sources. Various known and unknown risks, uncertainties and other factors could cause the actual results, financial position, development or performance of LANXESS AG to differ materially from the estimations expressed or implied herein. LANXESS AG does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor does it accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecast developments. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, any information, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and accordingly, no representative of LANXESS AG or any of its affiliated companies or any of such person’s officers, directors or employees accept any liability whatsoever arising directly or indirectly from the use of this document.
This publication does not constitute a public offer of securities in Germany. It is not for publication or distribution, directly or indirectly, in or into the United States of America. This publication does not constitute an offer to sell securities, or a solicitation of an offer to buy securities, in the United States of America or in any other jurisdiction to any person to whom it is unlawful to make such offer or solicitation in such jurisdiction. Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended (the ‘Securities Act’). The securities of Lanxess AG described herein have not been and will not be registered under the Securities Act, or the laws of any State, and may not be offered or sold within the United States of America, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable State laws. Lanxess AG does not intend to register any portion of the offering in the United States of America or conduct a public offering of securities in the United States of America.