Quadient, a provider of business solutions for customer connections through digital and physical channels, closed a €300 million ($328.6 million) syndicated revolving credit facility.
This revolving credit facility was negotiated with a syndicate of seven international banks, including BNP Paribas, Crédit Agricole Corporate and Investment Bank, HSBC Continental Europe, Le Crédit Lyonnais and Société Générale, as mandated lead arrangers and bookrunners. In addition, Société Générale acted as syndication coordinator and Crédit Agricole Corporate and Investment Bank acted as ESG coordinator and facility agent. This €300 million ($328.6 million) facility has an initial tenor of five years, maturing in June 2028, with a €100 million ($109.5 million) accordion feature, bringing the potential total amount of the credit line up to €400 million ($438.1 million) depending on the banks’ approval. The new credit facility replaces the company’s existing undrawn €400 million ($438.1 million) revolving credit facility, which was set to mature in June 2024.
Despite the new facility being oversubscribed, the recent deleveraging of the group led to a reduced notional compared to the previous facility, still providing enough flexibility to cover upcoming maturities if needed. At the date of signing, the applicable margin is unchanged at 85 basis points compared to the previous facility. Importantly, this is the first sustainability-linked loan of the group. The ESG criteria are based on Quadient’s official CO2 reduction targets for both Scopes 1 and 2 and for Scope 3, with each KPI having an impact of two basis points on the facility’s applicable margin.
“We are delighted with the completion of this transaction which provides the group with financial flexibility at attractive terms under the current market conditions,” Laurent du Passage, CFO of Quadient, said. “The transaction, which attracted significant demand, highlights the fundamental strength of our recurring business model, solid balance sheet and our strong ESG commitment. We are also pleased to be able to count on the commitment of our long-standing banking partners who have continued to support us throughout our “Back to Growth” strategic plan.”
