Würth Group successfully issues bond
Künzelsau/’s-Hertogenbosch. The Würth Group took advantage of the continuously favorable conditions in the capital markets to acquire long-term funds and very successfully issued a EUR 300 million Euro bond in the market through its financial company of Würth Finance International B.V., based in Amsterdam, Netherlands.
The bond with a term of seven years carries an interest coupon of 4.75 percent and is secured through unconditional, irrevocable guarantees of Adolf Würth GmbH & Co. KG (Künzelsau/Germany) as well as Reinhold Würth GmbH (Künzelsau/Germany). The bond was given a credit rating of “A/outlook stable” by the rating agencies Standard & Poor’s and FitchRatings.
The bond was issued last week to private and institutional investors in Germany, the United Kingdom, Switzerland and other European countries, with Landesbank Baden-Württemberg and Deutsche Bank acting as lead-managers and book-runners. The issue had been preceded by investor presentations held in Stuttgart and London, at which the Würth Group met with a high degree of interest on the part of the investors. As a result, the issue was quickly oversubscribed.
The proceeds of the issue will be used to repay a bond for CHF 150 million due on 21st February 2008 as well as to fund further growth.
Robert Friedmann, Chairman of the Central Managing Board of the Würth Group: “The vivid interest displayed by investors and the successful issue of the Euro bond is evidence of the high degree of trust which the Würth Group possesses in the capital market as a family business.”
The Würth Group with headquarters in Künzelsau/Germany is a global company. Its core business is the worldwide trade in assembly and connecting materials for customers from the trades, construction and industry. In the business year 2006, the Würth Group achieved a sales volume of EUR 7.75 billion with its 370 operative companies in 83 countries and increased the operating result before tax to almost EUR 515 million, marking an increase of 13.2 percent compared to the previous year (previous year: EUR 455 million).
The press information is neither an offer for sale nor a request to buy securities of the Würth Group. This press release as well as the information contained must neither be passed on to the United States of America (USA), nor be distributed within the USA, to US persons (including legal entities) or to publications publicly distributed in the USA. This press release does not constitute an offer or solicitation of an offer to buy securities in the USA. The securities of the Würth Group are not offered for sale in the USA.