DGAP-News

TUI AG: Successful issue of convertible bonds of 400 million Euro

DGAP-News: TUI AG / Key word(s): Bond TUI AG: Successful issue of convertible bonds of 400 million Euro 09.04.2021 / 16:48 The issuer is solely responsible for the content of this announcement. TUI AG: Successful issue of convertible bonds of 400 million Euro

- Investors and capital markets support TUI strategy

- Volume increased to 400 million Euro based on strong demand

- Issue ca. 2-times oversubscribed

- Important step towards refinancing

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH, OR TO PERSONS IN ANY JURISDICTION TO WHOM, SUCH DISTRIBUTION WOULD BE UNLAWFUL.

Hannover, 9-Apr-2021. TUI AG has successfully completed its offering of convertible bonds. The senior unsecured convertible bonds are due in 2028 and have an aggregate principal amount of 400 million Euro. TUI thereby made use of the option to increase the issuance volume from 350 million Euro to 400 million Euro. The Bonds have a denomination of 100,000 Euro per Bond and a coupon of 5.00% per annum, payable semi-annually in arrears. The issue was ca. 2-times oversubscribed.

With the successful offering TUI plans to start the refinancing of loans from the COVID-19 stabilisation packages. Even before the offering TUI had a sufficient liquidity position into the summer 2021. As of 22 March, TUI's liquidity amounted to 1.6 billion Euro.

Fritz Joussen, CEO of TUI Group: "The offering was close to 2-times oversubscribed. The successful completion of our rights issue in January and today's convertible bond offering prove that capital markets and investors remain confident in TUI's strategy and business model and support our journey going forward. They expect a major recovery of the tourism industry and a strong TUI post pandemic - more digital, lean, and efficient. We have laid the foundation: the transformation is ongoing, the digitalization has been accelerated, we expand our digital platforms and the efficiency programme will lower costs by 400 million Euro per annum from 2023 going onward. With the completed offering today, we can plan the first important step towards refinancing our capital structure."