Rieter to raise CHF 100mn through fixed rate bonds

02 Sep '14

2 min read

Switzerland based global manufacturer of textile spinning machinery - Rieter Holding Ltd said it is issuing a fixed rate bond amounting to CHF 100 million.

Rieter said the bond is due on September 29, 2020, will pay an annual coupon of 1.50% and issue price is 100.21%, less commissions.

The bond which has term of 6 years will be offered at market price for public subscription till September 24, 2014.

Rieter Holding said it benefits from the attractive market conditions and added that funds will be used for partial re-financing of the existing bond amounting to CHF 250 million, due in April 2015.

In the first half of 2014, sales at Rieter rose 9% year-on-year to CHF 522.1 million, while EBITDA grew to CHF 48.4 million from CHF 34.3 million in first half of 2013.

EBIT amounted to CHF 28.8 million, up a massive 68% from CHF 17.1 million in comparable period of 2013.

Rieter received new orders totalling to CHF 655.5 million in the first six months of 2014, down from CHF 711.4 million in first six months of 2013, but substantially higher than second half of 2013.

Rieter is a supplier of textile machinery and components used in short staple fiber spinning. With 18 manufacturing locations in ten countries, it employs a global workforce of around 4,800 employees.

Fibre2fashion News Desk - India

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