Heimo Scheuch: "Wienerberger Bricks Secures Liquidity Reserves up to 2019"

Published: November 21, 2014; 14:30 · (Vindobona)

Wienerberger AG today announced the conclusion of a new revolving credit line with a volume of Euro 400 million. It has a term extending to November 2019, replaces the previous facility and provides ongoing financing for general corporate purposes. According to Wienerberger, the strong interest led to an increase in the volume from the originally planned Euro 350 million to Euro 400 million. The bank consortium includes 10 banks under the direction of the long-standing partners Danske Bank A/S, Raiffeisen Bank International AG and UniCredit Bank Austria AG.

Heimo Scheuch: "Wienerberger bricks secures liquidity reserves up to 2019" / Picture: © Wienerberger AG

"The banking sector has stabilized significantly in recent years. Banks are again playing a stronger role in corporate financing with attractive conditions, and we were able to take advantage of these favorable and improved terms. I see this as a further step towards creating an even more balanced financing profile and a sign of the good cooperation with our core banks", commented Heimo Scheuch, Chief Executive Officer of Wienerberger AG, on the importance of this new credit line as part of the company's financing strategy.

In addition, he explained: "Wienerberger had a previously arranged Euro 250 million credit line, and the Pipelife acquisition added a further Euro 100 million credit line. In the sense of integration and, above all, to optimize our financing costs, we have replaced these two lines with the new Euro 400 million revolving facility. That will give us a suitable liquidity cushion for our strongly seasonal business at even better conditions than before. Our existing covenants remain unchanged."

In conclusion, Heimo Scheuch emphasized: "Financial discipline and the protection of a strong capital structure remain a central element of our corporate strategy, whereby we also want to hold the ratio of net debt / operating EBITDA below 2.5 at year-end in the future."

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