Ströer Media AG successfully concludes early refinancing with significantly better terms and conditions

Ströer Media AG has successfully concluded an early refinancing of existing credit facilities. The financing package, which totals EUR 500 million and has a five-year term, was significantly oversubscribed and was provided by an international banking syndicate headed up by coordinators and joint bookrunners Commerzbank and SEB and joint bookrunners Crédit Agricole, ING, Deutsche Bank and HSBC Trinkaus & Burkhardt AG. The previous syndicated loan agreement was repaid at the same time. The new financing package is being provided by long-standing partner banks as well as a number of new financial institutions.

This stable long-term funding means that Ströer Media AG is very well equipped to finance future corporate development. In particular, it will allow the company to further reduce borrowing costs – a trend that has started in past years. The company expects interest expenses in 2015 to be down by more than 75 percent as against 2010, meaning savings in the double-digit millions range. This is due to, among other things, the refinancing measures agreed since 2010, the expiry of interest rate derivatives and the general development of market interest rates. Independent financial advisory firm Herter & Co. advised Ströer on the refinancing.

“The high level of interest shown by the banks in the financing and the significant oversubscription of the volume on offer are testimony to the confidence of the financial market in our sustainable business model. The refinancing of our loans will allow us to further boost the profitability of our company and thereby create a sound basis for our future success,” Udo Müller, CEO of Ströer Media AG, said.