D'Ieteren : Belron launches a syndication of EUR 850 million equivalent of additional debt
October 18, 2019 at 03:09 am EDT
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Belron is launching on a best effort basis a syndication in the institutional loan market for a new EUR 700 to 750 million equivalent USD 7-year Term Loan B (the 'New Term Loan') and a EUR 100 to 150 million add-on to Belron's current EUR Term Loan B due 2024 (the 'Add-on Loan').
The proceeds of the debt issuance would be upstreamed to the shareholders of Belron.
This transaction occurs amid Belron's strong operational performance and rapid deleveraging since the dividend recapitalization in November 2018, with a net leverage ratio of 2.6x on 30 September 2019, down 1.6x EBITDA since the recapitalization last year.
The transaction aims at optimising Belron's capital structure whilst maintaining full flexibility for its strategic options and an adequate approach to leverage with a net leverage ratio of 4.1x pro forma the operation, remaining below the net leverage ratio (4.22x) prevailing during last year's recapitalization. The transaction would extend Belron's debt maturity profile as the New Term Loan is expected to have a November 2026 maturity.
The extraordinary dividend that D'Ieteren would receive from Belron following this transaction would allow it to pursue its long-term strategy which aims to invest in activities with attractive value creation potential.
End of press release
Group profile
In existence since 1805, and across family generations, D'Ieteren seeks growth and value creation by pursuing a strategy on the long term for its businesses and actively encouraging and supporting them to develop their position in their industry or in their geographies. The Group has currently the following activities:
D'Ieteren Auto (100% owned) distributes Volkswagen, Audi, SEAT, Škoda, Bentley, Lamborghini, Bugatti, Porsche and Yamaha vehicles in Belgium. It is the country's number one car distributor, with a market share of around 21% and 1.2 million vehicles on the road. Its business model is evolving towards providing citizens with responsible and innovative mobility. Sales and adjusted operating result reached respectively EUR 3.4 billion and EUR 113.0 million in 2018.
Belron (54.10% owned) has a clear purpose: 'making a difference by solving people's problems with real care'. It is the worldwide leader in vehicle glass repair and replacement and operates in 35 countries, through wholly owned businesses and franchises, with market leading brands - including Carglass®, Safelite® and Autoglass®. In addition, Belron manages vehicle glass and other insurance claims on behalf of insurance customers. It has also expanded its services into the automotive damage and home damage repair and replacement markets. Sales and adjusted operating result reached respectively EUR 3.8 billion and EUR 225.7 million in FY 2018.
Moleskine (100% owned) is a premium and aspirational lifestyle brand which develops and sells iconic branded notebooks and writing, travel and reading accessories through a multichannel distribution strategy across more than 115 countries. Sales and operating result reached respectively EUR 174.1 million and EUR 28.6 million in FY 2018.
D'Ieteren Immo (100% owned) groups together the Belgian real estate interests of D'Ieteren Group. It owns and manages approximately 30 properties which generated EUR 18.7 million net rental income in FY 2018. It also pursues investment projects and carries out studies into possible site renovations.
Contacts
Francis Deprez, Chief Executive Officer
Arnaud Laviolette, Chief Financial Officer
Pascale Weber, Financial Communication - Tel: + 32 (0)2 536.54.39
D'Ieteren NV published this content on 18 October 2019 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 18 October 2019 07:08:02 UTC
In existence since 1805, and across family generations, D'Ieteren Group seeks growth and value creation by pursuing a strategy on the long term for its businesses and actively encouraging and supporting them to develop their position in their industry and geographies. The Group currently owns the following businesses:
- Belron (equity-accounted investee) has a clear purpose: "making a difference by solving people's problems with real care". It is the worldwide leader in vehicle glass repair and replacement and operates in 40 countries, through wholly owned businesses and franchises, with market leading brands - including Carglass®, Safelite® and Autoglass®. In addition, Belron manages vehicle glass and other insurance claims on behalf of insurance customers;
- D'Ieteren Automotive distributes Volkswagen, Audi, SEAT, Skoda, Bentley, Lamborghini, Bugatti, Rimac, Cupra and Porsche vehicles in Belgium. It has a market share of more than 23% and 1.2 million vehicles on the road. Its business model is evolving towards "improving the lives of citizens with fluid, accessible and sustainable mobility";
- TVH Parts (equity-accounted investee), is a leading global independent distributor for aftermarket parts for material handling, construction & industrial, and agricultural equipment. It operates in 26 countries worldwide. It has a unique operating model and has a clear purpose of "keeping customers going and growing";
- Moleskine is a premium and aspirational lifestyle brand which develops and sells iconic branded notebooks and writing, travel and reading accessories through a global multichannel platform. Its purpose is to "unleash the human genius through hands on paper to empower creativity and knowledge in each individual and the entire world";
- D'Ieteren Immo groups together the Belgian real estate interests of D'Ieteren Group. It owns and manages 37 sites. It also pursues investment projects and carries out studies into possible site renovations.
D'IETEREN GROUP 
