Ekosem agricultural issues corporate bond to 8.50%
Subscription period begins on 26.11.-05.12, issue volume. EUR 60 million
The Ekosem-Agrar GmbH, the German holding company focused on milk production group Ekoniva planning to issue a corporate bond with a volume of EUR 60 million. Drawing is expected to start the 26th November 2012. Provided is an admission of the Bonds in the Commercial segment Bondm the Stuttgart Stock Exchange. The proceeds are used to optimize the financing structure and finance growth. The agricultural Securities II (WKN: A1R0RZ / ISIN: DE000A1R0RZ5) has a fixed annual interest rate of 8.5% and a term of six years. The issue is aimed at institutional investors and asset managers and private investors. The securities with a nominal value of € 1,000 can be drawn from banks and online brokers by sending a buy order at the Stuttgart Stock Exchange. As lead manager and bookrunner acts equinet Bank AG, Frankfurt am Main. "Our group is fully expanding. The Russian dairy market is still heavily dependent on imports and milk prices are significantly higher than in Germany. This provides us with the ideal conditions to expand our business. In just the last six months we have our property area of 12,500 hectares and our herd of around 20% to 36,500 cattle (including 13,850 dairy cows) expands, "said Stefan Dürr, CEO and principal shareholder of the Group. Ekosem agricultural counts with a UAA of total 173,000 hectares (equivalent to more than two thirds the size of the Saarland) and an annual milk production of about 80,000 tons of the leading agricultural holdings in Russia. By the year 2015, the floor space of more than 238,000 acres and the dairy herd will be expanded to over 30,000 animals. The corporate bond is the second issue of the company after the successful issue of a likewise Bondm listed, five-year bond maturing in 2017. Wolfgang Bläsi , CFO and General Manager of Ekosem agricultural GmbH: "The agricultural investment I has developed over the entire previous period better than the market and traded well above par, which underlines the attractiveness for investors. With the second bond, we want to improve, especially our financing structure and also buy more land. " The first half of 2012, the Company has concluded with very good results. The operating revenue (including revenue collection development in animals and crops) increased by 34% to EUR 53.8 million, and earnings before depreciation, taxes and amortization (EBITDA) rose by 108% to 16.8 million euros. The operating profit (EBIT) amounted to EUR 9.7 million by 174% over the same period last year. The profit after tax increased from EUR 0.8 million in the first half of 2011 to EUR 3.8 million. "We are now reaping the fruits of our investments in recent years and will continue to expand our profitability. Due to the good earnings performance and the fact that we use a substantial portion of the proceeds for the reduction of bank debt, we will continue to have a solid mix of equity and debt, "adds Wolfgang Bläsi. The new bond offering, as was the Agricultural investment I, extensive investor rights (covenants) as termination rights in a change of control and a complete distribution limit for the entire loan term.
Key Data Ekosem II Bonds:
Subscription period: 26.11.-12.05.2012
Issue volume: 60 million euros /
ISIN : A1R0RZ / DE000A1R0RZ5
interest rate (coupon): 8.50%
Duration: 6 years :
interest payment seventh annually, every December
redemption rate: 100%
Denomination: EUR 1,000
Market Segment: Bondm, Börse Stuttgart
corporate rating: BB +
Considerando il prezzo degli altri bondi Ekosem, salirà sicuramente sopra i 100 già dall'emissione
