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VARTA AG
Capital/Financing Update • Oct 7, 2024
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Capital/Financing Update
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Ad-hoc | 7 October 2024 14:08
VARTA AG: VARTA AG concludes material agreements as part of the restructuring concept and secures short-term bridge financing
VARTA AG / Key word(s): Restructure of Company
VARTA AG: VARTA AG concludes material agreements as part of the restructuring concept and secures short-term bridge financing
07-Oct-2024 / 14:08 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by EQS News – a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
VARTA AG, Ellwangen, ISIN: DE000A0TGJ55
Publication of inside information pursuant to Article 17 of Regulation (EU) No 596/2014
VARTA AG concludes material agreements as part of the restructuring concept and secures short-term bridge financing
Ellwangen, October 7, 2024 – VARTA AG announces that a further milestone has been reached with the signing of material agreements as part of the restructuring concept dated September 18, 2024.
Today, VARTA AG entered into a lock-up agreement with several syndicated loan lenders and lenders of the promissory notes, as well as other relevant parties. Among other things, this agreement contains the obligation on the part of the undersigned syndicated loan lenders and lenders of the promissory notes to support the restructuring of VARTA AG in the context of the restructuring plan notified on July 21, 2024, in accordance with the German Corporate Stabilisation and Restructuring Act (StaRUG).
Furthermore, a company controlled by the current indirect majority shareholder of VARTA AG (“MT InvestCo”) and Dr. Ing. h.c. F. Porsche AG (“Porsche”) entered into an investor agreement with VARTA AG, in which MT InvestCo and Porsche each undertake to provide VARTA AG with new equity capital in the total amount of €60 million by way of a capital increase against contribution in cash and in kind in accordance with the restructuring plan following the implementation of the capital decrease. The agreement is subject to antitrust approval and other customary conditions. Based on the agreed draft of the restructuring term sheet, VARTA AG expects to finalize the restructuring plan still in October 2024 and apply for a discussion and voting meeting, so that the adoption of the plan confirmation resolution by the restructuring court is expected before the end of this year.
In addition, a short-term bridge facility agreement granting an amount of up to €30 million was entered into with some of the syndicated loan lenders, which shall secure VARTA AG’s financing until conclusion of the StaRUG proceedings.
On the basis of the agreements concluded, the management board of VARTA AG assumes that the majorities required for approval of the proposed restructuring plan in the StaRUG proceedings are secured.
Contact
Investors:
Emanuel Sican
Head of Investor Relations
Press and media:
Dirk Schmitt
Press Spokesman (interim)
End of Inside Information
07-Oct-2024 CET/CEST The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.eqs-news.com
| Language: | English |
| Company: | VARTA AG |
| VARTA-Platz 1 | |
| 73479 Ellwangen | |
| Germany | |
| Phone: | +49 (0)791-921-0 |
| E-mail: | [email protected] |
| Internet: | www.varta-ag.com |
| ISIN: | DE000A0TGJ55 |
| WKN: | A0TGJ5 |
| Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 2002631 |
| End of Announcement | EQS News Service |