Hapag-Lloyd Rolls out Euro Bond Offering
Global container shipping company Hapag-Lloyd has launched a euro bond offering with a volume of EURO 150mln ($159mln) and a maturity of five years.
Part of the proceeds, initially amounting to USD 50 million converted (approx. EUR 47 million), will be used for the early redemption of US dollar notes due in autumn 2017.
The US dollar notes originally had a volume of USD 250 million, half of which was already repaid in 2015.
The remaining proceeds of the new euro bond will be used for general corporate purposes (including further repayment of existing indebtedness).
Hapag-Lloyd generated a positive net result in the third quarter of 2016 and EBITDA of EUR 381.3 million in the first nine months of 2016.
The new euro bond will be listed on the Luxembourg Stock Exchange. All of Hapag-Lloyd AG's existing bonds are quoted above par. The Company's shares, which were listed on the stock exchange in November 2015, are also quoted higher than its issue price.
