CECONOMY AG adheres to the principle of a prudent financial policy and is continuously evaluated by three rating agencies, Fitch, Scope and S&P. Ratings evaluate the ability of a company to meet its financial obligations. They communicate the creditworthiness of a company to potential debt capital investors and enable it to obtain attractive financing conditions on international capital markets.
Fitch Rating Report: PDF 589 KB
Scope Rating Report: PDF 307 KB
S&P Rating Report: PDF 237 KB
As of 13 May 2024
CECONOMY has developed a sustainability-linked financing framework to strengthen the link between its financing structure and its decarbonization commitments. This framework is intended to be the foundation to consider sustainability aspects also in CECONOMY’s future financing structure.
The sustainability-linked financing framework has also been audited by S&P, within the submission of a “Second Party Opinion”. S&P concluded and confirmed that the framework is aligned with the Sustainability-Linked Bond Principles, ICMA, 2023 and Sustainability-Linked Loan Principles, LMA/LSTA/APLMA, 2023.
Framework: PDF 10,4 MB
Second Party Option (S&P): PDF 10,4 MB
* Tender offer partially accepted for Bond 21/26 on 05 July 2024 and placement of the Bond 24/29 on 03 July 2024
For medium- and long-term financing CECONOMY AG issued several promissory notes. As of 30.06.2024, promissory notes (Schuldscheindarlehen) with a total nominal amount of 72 million € outstanding and which become due in 2027.
A Euro Commercial Paper Programme with a maximum volume of 500 million € is available to CECONOMY AG for short-term funding needs.
CECONOMY AG possesses comfortable liquidity reserves consisting of syndicated revolving credit facilities, which complements the reserves held in cash and other liquid assets.
The syndicated credit line agreement was concluded on 6 May 2021 and consists of two tranches with a total volume of 1.06 billion €. The maturity of both facilities has been set to June 2026 by the execution of extension options.
In addition, it also includes a pricing mechanism linked to the achievement of ESG objectives, which are in line with CECONOMY's sustainability strategy.
Press release of KfW syndicated loan agreement replacement
Press release of ESG-linked syndicated revolving credit facility
Bond 21/26
CECONOMY AG issued in June 2021 a 5-year senior unsecured bond with an initial amount of 500 million €. The notes will mature in June 2026 and carry an annual fixed coupon of 1.75 %. The net proceeds from the issuance of the notes were used for general corporate purposes, including the refinancing of existing indebtedness.
As part of the early refinancing of the outstanding bond (see details below), a tender offer was announced. The outstanding nominal volume of the Bond 21/26 was reduced from 500 million € to 144 million €.
Below you will find an overview of the key information:
Bond 24/29
In July 2024, CECONOMY AG issued a fixed-interest, unsecured, sustainability-linked bond with an amount of 500 million €. The bond matures in July 2029 and bears interest rate of 6.25 %.
The gross proceeds from the issue of the new bond were used to finance the tender offer of the existing fixed-interest, unsecured bond maturing in June 2026 with an amount of 356 million €. The unutilized gross proceeds from the issue will be used to redeem the existing bond at maturity or earlier, depending on market conditions and the company's discretion.
Below you will find an overview of the key information:
* Reduction of CO2e emissions from use of sold products (Scope 3.11) by 14.8 % until end of FY 2026/27 compared to end of FY 2021/22. Increase of interest rate by 37.5 basepoints per annum until maturity, if sustainability performance target is not achieved.
As compensation component for the full acquisition of MediaMarktSaturn Retail Group, beside a capital increase and a limited cash component CECONOMY AG has issued to Convergenta Invest GmbH Convertible Bonds with an aggregate principal amount and issue price of 151 million €, which have a maturity of five years, a conversion premium of approximately 30 %, an interest rate of 0.05 % p.a., and an initial conversion price of EUR 5.42, initially convertible into up to 27,859,778 Conversion Shares.
Below you will find an overview of the key information:
Please direct general inquiries on financing topics to +49 211 5408-7245 or to creditor-relations_at_ceconomy.de.