By Lisa Kerner
Charlotte, N.C., Nov. 5 - Lenzing AG issued €200 million of 2.55% senior unsecured debt in the German private placement market.
The debt has an average maturity of six years, with fixed and variable interest rates.
Lenzing said the transaction was oversubscribed multiple times.
The issued German private placement takes advantage of favorable market conditions with a historically low Euribor interest rate and safeguards the financing of Lenzing's expansion drive for up to 10 years, according to a Lenzing news release.
Currently, the Lenzing, Austria-based company has a strategic liquidity reserve of about €353 million, which includes cash, cash equivalents and short-term securities.
Lenzing produces man-made cellulose fibers.
| Issuer: | Lenzing AG
|
| Issue: | Senior unsecured debt
|
| Amount: | €200 million
|
| Coupon: | 2.55%
|
| Maturity: | Average of six years
|
| Distribution: | Private placement
|
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