Südzucker ups stakes in Tirlemontoise

- Last updated on GMT

Related tags: Finance

Europe's largest sugar producer, Südzucker, has closed a five-year
convertible bond of €250 million, the proceeds from which will be
used to lift its stake in two subsidiaries.

The German group said this week that it intends to use the funds to increase its stake in Belgian subsidiary Raffinerie Tirlemontoise by purchasing the remaining 15 per cent. Indirectly, the move will also lift its stake in subsidiary Saint-Louis Sucre to 100 per cent.

"The offering allows Südzucker to secure attractive long-term financing and to benefit from the particularly attractive market conditions due to the combination of low interest rates and strong demand from convertible investors,"​ said the company in a statement this week.

According to the German sugar giant, the move will lead to a sustainable increase in the group's net income and improve cash flow by approximately €19 million per annum as well as lifting earnings per share by around 10 cents.

The convertible bond was issued through Südzucker International Finance, a Dutch subsidiary of Südzucker, and will be guaranteed by Südzucker. Deutsche Bank is the Bookrunner on the convertible bond offering.

Related topics: Ingredients

Related products

show more

Formulating plant-based dairy products?

Formulating plant-based dairy products?

Univar Europe Ltd. | 13-Jan-2022 | Technical / White Paper

Designing plant-based dairy alternative products presents significant challenges. Whilst the step-change required to move to planet- and personal-health...

Innovating Today for the Food System of Tomorrow

What’s Next for Sustainable Agriculture

Recorded the 01-Sep-2021 | Webinar

Across the food and agriculture supply chain, stakeholders are coming together to find new ways to ensure food security, advance sustainable development,...

Related suppliers

Follow us

Products

View more

Webinars