Scout24 Improves Financial Position Through Successful Refinancing
January 18, 2017 at 09:33 pm IST
Scout24 AG has concluded a new syndicated loan with eleven renowned European banks under the leadership of UniCredit Bank AG totaling up to EUR 800 million and maturing in December 2021. The existing syndicated loan with a residual debt of EUR 680 million is therefore fully repaid. The new credit agreement comprises a term loan of EUR 600 million and a revolving credit facility of EUR 200 million. As a result of the positive business development of Scout24 in the recent years, the new facility agreement has been concluded at considerably improved terms. The loan is unsecured, with the interest margin being linked to the leverage ratio (ratio of net debt to ordinary operating EBITDA over the last twelve months). With the current leverage ratio (2.9:1 as of 30 September 2016:), the initial interest margin is at 1.7%. Before the refinancing, the interest margin was at 3.5%. This improvement of the interest rates will result in interest savings of around EUR 12 million already in the financial year 2017.