Daher has partially repaid its PGE State-guaranteed loan and launched a successful bond issue demonstrating the confidence of its financial partners in the future of the company
Paris, September 1st, 2021 – In June this year, Daher repaid €60 million of the €170 million PGE State-guaranteed loan advanced in June 2020. The Group has also successfully raised €60 million with a Euro Private Placement bond issue. These two transactions simultaneously demonstrate the healthy financial situation of the Group and the confidence of its financial partners in how the consequences of the Covid crisis are being managed and the company’s ability to recover strongly.
At the height of the crisis in June 2020, Daher raised a PGE State-guaranteed loan of €170 million from its pool of longstanding financial partners. At a time when the aerospace industry was beginning to face the most serious crisis in its history, this loan helped to secure the Group’s cash flow position and enable continued implementation of the transformation plan designed to position Daher as a leading force in its markets when the recovery began.
One year later, having rapidly implemented its restructuring plan thanks to the strong performance delivered by its aircraft manufacturing (TBM and Kodiak) and logistics activities, and with increased forward visibility of the gradual recovery in air traffic volumes driving increases the production rates of its major customers, Daher was in a position to repay more than one-third of its loan.
Daher is also continuing to implement its transformation plan to position itself as a leading force in its markets as they recover to pre-crisis levels (estimated to be by 2023-2024). To further strengthen the funding base for this plan, the company has successful raised €60 million with a bond issue. The enthusiastic take-up of this issue – Allianz Global Investors and Banque Postale Asset Management subscribed for €46.5 million and €13.5 million respectively – underlines the market’s confidence in the adaptability of Daher Group and its potential for strong recovery.
“Successfully completed with top-tier investors, this funding transaction provides Daher with additional financial resources and facilitates future investment by extending the maturity of our debt. I would also like to emphasize that this is our first transaction in which the cost of funding is directly linked to CSR performance criteria that reflect our company values.”
Jean-Philippe Grégoire, Senior Vice President Finance and M&A, daher
“This private placement clearly demonstrates the confidence our financial partners have in Daher, and in the company’s ability to recover strongly. I would like to thank all Daher team members for the unfailing commitment they have shown during these challenging months, and our shareholders – the Daher family and Bpifrance – for their continued confidence and sense of responsibility. This level of unity means we now have the resources we need to invest in projects that will shape the future of Daher.”
Didier Kayat, Chief Executive Officer of Daher
