FACC AG plans 7-year corporate bond of up to EUR 90 million
Aerospace component manufacturer FACC AG is planning a EUR 90 million corporate bond to strengthen its financial position and fund investments. The 7-year bond will offer an annual interest rate between 4.00% and 4.25%.
Austria-based FACC AG, a supplier of advanced fiber composite components for the aerospace industry, announced plans to issue a 7-year corporate bond with a maximum volume of EUR 90 million. The subscription period for the bond is scheduled from June 17-19, 2013, with an anticipated annual interest rate of 4.00% to 4.25%.
The net proceeds from the bond issuance are intended to optimize the company's financial portfolio, enhance financial strength, finance upcoming investment projects, and repay existing financial liabilities. The bond will be offered to both private and institutional investors in Austria and Germany.
FACC AG aims to use the proceeds to partly finance its strategic, primarily organic, growth. This includes investments in domestic and international sites, as well as development projects for new aircraft and engines. The company anticipates continued positive business development, driven by the growing aerospace market and increased use of fiber composite technologies.
For the fiscal year 2012/13, FACC AG reported a significant increase in revenue by 22.2% to EUR 433.9 million and a rise in earnings before interest and taxes (EBIT) by 46.9% to EUR 35.7 million. FACC is a global supplier to major aircraft manufacturers including Airbus, Boeing, and Bombardier.