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Press Release

Dürr AG issues another sustainability Schuldschein loan with 0.9% interest rate

- Early redemption of older Schuldschein tranches at improved terms

- Sustainability-oriented financing course continued

- Target amount fully subscribed

Bietigheim-Bissingen, March 31, 2020 – Dürr AG has successfully issued another sustainability-oriented Schuldschein loan to the tune of € 115 million. As was the case with the sustainability Schuldschein loan issued last year (€ 200 million), the interest rate is linked to the Dürr Group’s sustainability rating. With an average interest rate of 0.9%, Dürr AG was once again able to secure attractive terms for the new Schuldschein loan, despite the conditions in capital markets having recently become more challenging amid the coronavirus crisis.

The total amount of € 115 million will accrue to Dürr AG in April, divided into tranches with maturities of five, seven and ten years. The proceeds will be largely used to pay off the variable tranches (€ 100 million) of an older Schuldschein loan, which was issued in 2016 and has an average interest rate of 1.6%. Says Ralf W. Dieter, CEO of Dürr AG: “The new Schuldschein loan enables us to optimize our Group financing in terms of maturities and interest rates. Plus, we are boosting our sustainability profile while remaining a pioneer in sustainable finance.”

Despite the challenging circumstances, Dürr AG was able to secure the target transaction amount in full. The Schuldschein loan was subscribed by major international banks as well as by regional savings and cooperative banks.

Opting for a sustainability Schuldschein loan was a way to target investors who attach importance not only to economic performance but also to sustainable business operations. In June 2019, based on the same pattern, Dürr AG issued the world’s very first sustainability-oriented Schuldschein loan (€ 200 million). For both of these sustainability Schuldschein loans, the interest rates rise or drop depending on whether the Dürr Group’s sustainability rating improves or decreases. The rating, prepared by the EcoVadis agency, takes into account, for example, key sustainability figures such as CO2 emissions and water consumption and aspects such as fair working relationships as well as conditions at suppliers.

The lead arrangers were DZ BANK AG, LBBW and UniCredit. The Schuldschein loan was in part issued via the DEBTVISION digital platform. Dürr AG received legal support from the Freshfields Bruckhaus Deringer law firm.

The Dürr Group is one of the world's leading mechanical and plant engineering firms with extensive expertise in automation and digitalization/Industry 4.0. Its products, systems and services enable highly efficient manufacturing processes in different industries. The Dürr Group supplies sectors like the automotive industry, mechanical engineering, chemical, pharmaceutical and woodworking industries. It generated sales of € 3.92 billion in 2019. The company has around 16,500 employees and 112 business locations in 34 countries. The Group operates in the market with the brands Dürr, Schenck and HOMAG and with five divisions:

  • Paint and Final Assembly Systems: paint shops as well as final assembly, testing and filling technology for the automotive industry
  • Application Technology: robot technologies for the automated application of paint, sealants and adhesives
  • Clean Technology Systems: air pollution control, noise abatement systems and coating systems for battery electrodes
  • Measuring and Process Systems: balancing equipment and diagnostic technology
  • Woodworking Machinery and Systems: machinery and equipment for the woodworking industry

This publication has been prepared independently by Dürr AG/Dürr group (“Dürr”). It may contain statements which address such key issues as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks, uncertainties and other factors, including, but not limited to those described in Dürr's disclosures, in particular in the chapter “Risks” in Dürr's annual report. Should one or more of these risks, uncertainties and other factors materialize, or should underlying expectations not occur or assumptions prove incorrect, actual results, performances or achievements of Dürr may vary materially from those described in the relevant forward-looking statements. These statements may be identified by words such as “expect,” “want,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “project” or words of similar meaning. Dürr neither intends, nor assumes any obligation, to update or revise its forward-looking statements regularly in light of developments which differ from those anticipated. Stated competitive positions are based on management estimates supported by information provided by specialized external agencies.

Our financial reports, presentations, press releases and ad-hoc releases may include alternative financial metrics. These metrics are not defined in the IFRS (International Financial Reporting Standards). Dürr's net assets, financial position and results of operations should not be assessed solely on the basis of these alternative financial metrics. Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the IFRS. The calculation of alternative financial metrics may vary from company to company despite the use of the same terminology. Further information regarding the alternative financial metrics used at Dürr can be found in our → financial glossary.