ALTANA successfully places ESG promissory note loan for 180 million euros

Wesel, November 10, 2023 – The specialty chemicals group ALTANA has secured a promissory note loan totaling 180 million euros. The transaction, which was placed with around 70 German and international investors, was oversubscribed several times. In response to the robust demand during the borrowing process, the initial volume of 100 million euros was increased to 180 million euros. The promissory note loan is divided into tranches with maturities spanning three, five, and seven years.

The tranches encompass both variable and fixed interest rates. Thanks to the substantial interest in this transaction, it was possible to set the interest rate at the lower end of the marketing range, resulting in an average fixed interest rate of
4.40 percent per annum. The placement was conducted through Deutsche Bank and Landesbank Baden-Württemberg.

"We are delighted with the great response," stated Stefan Genten, Chief Financial Officer of ALTANA AG. "This not only reaffirms our resilient business model, especially in economically challenging times, but also acknowledges our dedication to climate protection, energy efficiency, and occupational safety."

As a sustainability-linked loan ("ESG-linked loan"), the amount of the interest rate is also contingent upon the attainment of certain sustainability targets of the ALTANA Group and thus on the company's performance with regard to environmental, social, and corporate control processes (ESG for short).

"The promissory note loan fits excellently into our existing financing structure," said Claudia Uhlich, Head of Group Treasury at ALTANA AG. "We have further diversified our financing sources and were able to tailor the individual tranches exactly to our specific requirements."

The recently placed promissory note loan supports ALTANA’s overall corporate financing and serves as the foundation for the company’s further, sustainable growth.

In 2021, ALTANA had already established a credit line with a sustainability component in collaboration with a consortium of house banks as well as a loan from the European Investment Bank (EIB) designated for green research projects. By doing so, ALTANA completely renewed the Group’s long-term financing.

ALTANA is a global leader in true specialty chemicals. The Group offers innovative, environmentally compatible solutions for coating manufacturers, paint and plastics processors, the printing and packaging industries, the cosmetics sector and the electrical and electronics industry. The product range includes additives, special coatings and adhesives, effect pigments, sealants and compounds, impregnating resins and varnishes, and testing and measuring instruments. ALTANA's four divisions, BYK, ECKART, ELANTAS, and ACTEGA, all occupy a leading position in their target markets with respect to quality, product solution expertise, innovation, and service.

Headquartered in Wesel, Germany, the ALTANA Group has 48 production sites and 63 service and research laboratories worldwide. Throughout the Group more than 7,000 people work to ensure the worldwide success of ALTANA. In 2022, ALTANA achieved sales of more than 3 billion euros. Around 7 percent of sales are invested in research and development every year. Its high earning power and high growth rate make ALTANA one of the most innovative, fastest growing, and profitable chemical companies in the world.