Germany's Douglas recapitalizes with IPO, new bank loan debt

Chicago, April 3 – Douglas AG has a revised debt profile as the company wraps an initial public offering on the Frankfurt Stock Exchange for around €890 million, according to multiple press releases.

The new shares started trading on March 21, and, on the heels of the equity offering, the company entered into a new €1.6 billion credit facility with a consortium of lenders.

The credit facility consists of an €800 million term loan facility, a €450 million bridge facility and a €350 million committed revolving credit facility, according to S&P Global Ratings.

Additionally, shareholder Kirk Beauty International SA (a holding company majority-owned by CVC Capital Partners and the Kreke family) made a €300 million equity injection into the capital reserves of Douglas, financed with a margin loan with certain lenders.

Proceeds from the IPO, the Kirk Beauty equity injection and the credit facility are being used to fully refinance the company’s existing debt, to continue deleveraging the company’s balance sheet and to support future growth.

The beauty products company is based in Dusseldorf.

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