EQS-News

paragon confirms nine-month figures - Seite 2

 

The proceeds from the sale of the asset deal with Clarios reduced paragon's net debt as at the reporting date. The sum of bank and bond liabilities (less cash and cash equivalents) amounted to EUR 49.0 million as at the reporting date. In December 2019, this figure was almost two and a half times higher at EUR 121.3 million. The management considers the net leverage ratio now achieved to be appropriate for paragon and will now increasingly emphasize other topics in its communication with stakeholders. The increase in profitability, the expansion of sales activities in China, the USA, India and South Korea and development work on new products for the automotive industry, as well as other sectors, are now increasingly the focus of activities. paragon will provide comprehensive information on these exciting topics in the near future.

 

As announced, paragon began the stock exchange buyback of its 2017/2027 bonds (ISIN: DE000A2GSB86; WKN: A2GSB8) on November 6, 2023. The buyback is being carried out by an independent securities service provider. With regard to the purchase price and purchase volume, the latter must observe the ban on market abuse (so-called "safe harbor rules"). As a result, no more than 25% of the average daily turnover (20-day average) in the bonds may be purchased on the stock exchange on any one day. It is not the primary objective of the buyback program to further reduce paragon's debt; in view of the low net leverage ratio achieved, paragon reserves the right to borrow corresponding funds on the market to finance the buyback.

 

Development work is progressing on the basis of the existing cooperation and supply agreement with the vehicle manufacturer ElectricBrands AG. The plan is for paragon to supply VDL Netcar, ElectricBrands' contract manufacturer, with traction batteries for the XBUS light commercial vehicle from 2025. These will consist of a permanently installed lithium-ion battery that can be expanded with exchangeable batteries. The flow-shape design technology from paragon will be used, which offers decisive weight and cost advantages. Ralf Haller, founder and current Chief Strategic Officer of ElectricBrands, recently had paragon Managing Director Klaus D. Frers to explain the status of the development work.