Herter & Co. – A Teneo Company – successfully advised GRAMMER AG (“GRAMMER”) on the refinancing of its existing credit facilities.
GRAMMER AG has secured its long-term corporate financing with two new syndicated loans totaling €260 million. Despite a challenging market environment, the company also gained access to the Chinese financing market. The planned refinancing and expansion of the credit commitments enables the implementation of the company’s business strategy and improves the maturity profile at attractive conditions.
The new financing structure comprises a syndicated loan from five banks in China and a syndicated revolving working capital facility from five banks in Germany. Earlier this year, the syndicated loan tranche C, initially issued by KfW, amounting to €230 million, was refinanced with a bilateral credit line of €200 million from China, with a three-year term. Additionally, GRAMMER received subordinated loans totaling €70 million from its majority shareholder, Ningbo Jifeng. The terms of the new financing structure range from 2,5 to 3 years.
“The new syndicated loans provide us with financial security for the coming years as we implement our business strategy. We thank our existing banks, new lenders, and our main shareholder for their trust. Herter & Co. provided valuable support throughout the entire transaction process,” said Jurate Keblyte, CFO of GRAMMER AG.
GRAMMER AG, based in Ursensollen, specializes in the development and production of components and systems for car interiors as well as suspended driver and passenger seats for on-road and off-road vehicles. In the Automotive product area, the company supplies headrests, armrests, center console systems, high-quality interior components and operating elements for well-known car manufacturers and system suppliers in the vehicle industry. The Commercial Vehicles product area comprises the business areas of truck and off-road seats (tractors, construction machinery and forklifts) as well as train and bus seating. GRAMMER operates in 19 countries with around 12,300 employees. GRAMMER’s shares are listed in the Prime Standard and traded on the Munich and Frankfurt stock exchanges and the Xetra electronic trading platform.
