DGAP-News

Homann Holzwerkstoffe GmbH issues third corporate bond 2021/2026 - Seite 2

The public offer for subscription to the new third bond will be made in Germany and Luxembourg and will be processed via the subscription functionality of Deutsche Börse. The subscription period will run from 1 March 2021 to presumably 4 March 2021, 14:00 h (subject to early closing). The notes will also be offered by way of a private placement in Germany, Luxembourg and certain other jurisdictions.

The new Bond 2021/2026 is planned to be listed on the Open Market of the Frankfurt Stock Exchange in the Quotation Board segment. IKB Deutsche Industriebank AG is Sole Lead Manager of the issue.

Earnings and balance sheet ratios clearly improved in recent years

Fritz Homann, Managing Director of the Homann Holzwerkstoffe Group: "Financing via the capital market has been a great success for our company and our previous investors. We used the proceeds from the first issue in 2012 to finance our expansion to Eastern Europe. This resulted in increased profitability and higher cash flows, which allowed us to clearly reduce our net debt and leverage. In absolute terms, Group revenues thus increased by around EUR 100 million or 7% p.a. (CAGR) to EUR 274 million between 2012 and 2019. During the same period, operating EBITDA rose sharply from EUR 12 million to EUR 47 million. Leverage has recently been reduced to 2.4x."

What is more, the Homann Holzwerkstoffe Group has proven the crisis resilience of its business model in the past months, which have been marked by the pandemic. Although revenues declined as a result of the lockdown in April and May 2020, the Group was able to keep its operating result stable at a high level in 2020 as a whole, according to preliminary figures. The robust business model and the solid financial ratios were also underpinned in autumn 2020 by the rating agency Creditreform, which confirmed the BB- rating and raised the outlook to "stable".

"On this financially solid basis, our expansion plans are taking shape with the planned new plant in Lithuania. Having acquired the land in November, we are now in the middle of the approval planning process. Construction is expected to begin in the second quarter of 2021, with production scheduled to start in the second half of 2022," Fritz Homann adds.