Schaeffler prepays bond and further reduces debt

2017-04-24 | Herzogenaurach

• Full redemption of USD 700 million 4.25% notes due 2021
• Redemption fully funded from available liquidity
• Solid financing structure

Schaeffler Group today announced that it intends to further reduce debt by fully redeeming its USD 700 million 4.25% senior secured notes due 2021.

The redemption of the senior secured USD notes due 2021 issued by Schaeffler Finance B.V. at a redemption price of 102.125% plus accrued and unpaid interest is envisaged for May 24, 2017. The redemption will be funded from available cash and a partial utilization of Schaeffler’s revolving credit facility. A redemption notice with further details on the redemption was published on the official website of the Luxembourg Stock Exchange.

The bond redemption follows a significant deleveraging step in 2016, when Schaeffler AG reduced its net financial debt by EUR 2.3 bn to EUR 2.6 bn as of December 31, 2016.