H&K AG today concluded a new syndicated loan agreement with a banking consortium led by Commerzbank and UniCredit, with the support of Nord/LB, DZ Bank and Raiffeisenlandesbank Oberösterreich. The agreement covers a total volume of €305 million over a term of five years, with two extension options of one year each.
Funds drawn under the facility will serve general corporate financing purposes, reinforce the company’s financial flexibility, and support the consistent execution of its growth and investment strategy.
The refinancing completely replaces the previous financing structure and markedly improves the conditions for Heckler & Koch, particularly in the area of guarantees and collateral. Furthermore, existing application and approval processes for specified transactions have been materially simplified. This gives the company additional operational flexibility whilst simultaneously increasing its financial independence. In addition, the financing terms have been significantly improved compared to the existing syndicated loan agreement. This will have a positive impact on the Group’s net interest income.