VTG AG Completes Long-Term Refinancing of 2.9 Billion Euros

With a refinancing of 2.9 billion euros, VTG reduces overall financing costs and achieves a significant extension of maturities. The refinancing strengthens VTG’s capital structure and creates additional debt capacity to finance ongoing investment plans.

(Hamburg) VTG Aktiengesellschaft (WKN: VTG999) has successfully completed the refinancing of the capital structure of the VTG Group, thereby creating a solid long-term basis for further investments in the company. The refinancing of 2.9 billion euros includes committed credit lines to finance VTG’s further investment plans.

As part of the refinancing, Standard & Poor’s has granted VTG an investment grade rating of BBB (with a stable outlook). This not only supported the transition to a new Common Terms Debt Platform but also had an extremely positive effect on refinancing parameters, significantly lowering overall financing costs and extending maturities to up to ten years. VTG now also has access to new sources of financing in the debt capital markets for these and future debt issuances, further strengthening the resilience of its long-term capital structure.

“We are very proud to have completed this groundbreaking financing transaction. Amid the Corona crisis, we received an issuer credit rating of BBB from S&P and were able to extend financing maturities while reducing financing costs. With this achievement, VTG underscores its leadership position in the rail infrastructure sector. The transaction attests to the confidence in the strength, stability, and reliability of VTG’s business model, on which our relationships with our core banks are based. Furthermore, this once again demonstrates the high professionalism and resilience of the organization in these challenging times,” said Dr. Heiko Fischer, Chairman of the Board of VTG AG. “We have thus reached an important milestone in financing the long-term growth of the VTG Group and once again prove our ability to grow and meet new challenges even in times of crisis.”

The refinancing process was accompanied by Credit Agricole CIB and Goldman Sachs International as joint financial advisers, arrangers, and placement agents.

Photo: VTG

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