paragon AG issues corporate bond

paragon AG  / Key word(s): Bond

13.06.2013 19:57

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Delbrück, Germany, June 13, 2013 - The Managing Board of paragon AG (ticker
symbol PGN, WKN (stock) 555869, ISIN (stock) DE0005558696) resolved today,
upon approval by the Supervisory Board, to issue a corporate bond in a
volume of up to EUR20 million.

The bond will bear interest at a fixed annual coupon of 7.25 per cent and
has a term of 5 years. It is expected to be offered for subscription in the
period from June 25, 2013 to June 28, 2013 (12.00 am), with a nominal
amount of EUR1,000 each. paragon AG has a BB+ rating from Creditreform.

The proceeds from the issue will be used for further internationalization,
investments in the Electromobility and Kinematics divisions, expanding
production at the St. Georgen site, for acquisitions and repayment of
loans, and as liquidity reserve.

Explanatory Notes:

The bond will be issued to the public in Germany, Austria and Luxembourg.
Retail investors may subscribe to bonds through their principal bank or
custodian. Institutional investors may subscribe through Close Brothers
Seydler Bank AG, the Sole Global Coordinator and Bookrunner. The public
offer will be terminated early if oversubscribed.

The bonds are expected to be included in the Open Market (Freiverkehr) of
Deutsche Börse AG on July 2, 2013 and listed simultaneously in the Entry
Standard for corporate bonds.

Portrait

Listed in the Prime Standard segment of the German Stock Exchange in
Frankfurt, paragon AG develops, produces and markets innovative solutions
in the field of automotive electronics. The portfolio of the direct
supplier to the automotive industry includes products in the business
segments sensors, acoustics, cockpit, electromobility and body works
kinematics. An outstanding product is the air quality sensor AQS, which is
by far the world market leader. In addition to its headquarters in Delbrück
(North Rhine-Westfalia), paragon maintains branches in Suhl (Thuringia),
Nuremberg (Bavaria) and St. Georgen (Baden-Württemberg) and a sales office
in Shanghai (China).

Contact

paragon AG
Schwalbenweg 29
33129 Delbrück
Tel.: +49 (0) 52 50 - 97 62-0
Fax: +49 (0) 52 50 - 97 62-60
Internet: www.paragon.ag
E-Mail: info@paragon.ag

Press officer
Matthias Hack
Tel.: +49 (0) 52 50 - 97 62-141
Mobile: +49 (0) 162 1010724
Fax: +49 (0) 52 50 - 97 62-60
E-Mail:  matthias.hack@paragon.ag

Contact for financial press / investor relations
Stockheim Media GmbH
Michael Knecht
Tel.: +49 (0) 89 - 200 315 73
Fax: +49 (0) 89 - 813 030 23
E-Mail: mk@stockheim-media.com

Disclaimer:

This Ad-hoc disclosure does not constitute an offer to sell or an
invitation to make an offer to buy or subscribe for securities of paragon
AG and does not substitute a securities prospectus. There will be no public
offer of securities outside of the Federal Republic of Germany, the Grand
Dutchy of Luxembourg and the Republic of Austria and such offer is not
intended . The public offer in the Federal Republic of Germany, the Grand
Dutchy of Luxembourg and the Republic of Austria will be made exclusively
on the basis of the securities prospectus, which has to be approved by the
Commission de Surveillance du Secteur Financier (the 'CSSF') and will be
notified to the Federal Financial Supervisory Authority (Bundesanstalt für
Finanzdienstleitungsaufsicht - the 'BaFin') and the austrian financial
market supervisory authority (Finanzmarktaufsicht - the 'FMA'). The
prospectus will be made available on the website of the company under
www.paragon.ag (category bond), on the website of the CSSF under
www.bourse.lu and under the address of the company (Schwalbenweg 29, 33129
Delbrück) immediately after its approval and will be the solely relevant
document for the public offer of the notes. A decision to invest in the
respective notes of paragon AG shall solely be made on the basis of the
approved prospectus.

This document and the information contained therein may not be distributed
direct or indirect in or within the United States of America , Canada ,
Australia or Japan or other jurisdictions, in which such offer,
respectively, such invitation to make an offer to buy or subscribe for
securities is not allowed. Any violation of such limitations may constitute
a breach of securities regulations of such countries.

This document includes 'forward-looking statements'. Forward-looking
statements are all statements, which do not describe facts of the past, but
containing the words 'believe', 'estimate', 'expect', 'anticipate',
'assume', 'plan', 'intend', 'could', and words of similar meaning. These
forward-looking statements are subject to inherent risks and uncertainties
since they relate to future events and are based on current assumptions and
estimates of paragon AG, which might not occur at all or occur not as
assumed. They therefore do not constitute a guarantee for the occurrence of
future results or performances of paragon AG. The actual financial position
and the actual results of paragon AG, as well as the overall economic
development and the regulatory environment may differ materially from the
expectations, which are assumed explicitly or implicitly in the
forward-looking statements and do not comply to them. Therefore, investors
are warned to base their investment decisions with respect to paragon AG on
the forward-looking statements mentioned in this document.


13.06.2013 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language:     English
Company:      paragon AG
              Schwalbenweg 29
              33129 Delbrück
              Germany
Phone:        +49 (0)5250 97 62 - 0
Fax:          +49 (0)5250 97 62 - 60
E-mail:       investor@paragon.ag
Internet:     www.paragon.ag
ISIN:         DE0005558696
WKN:          555869
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, Hamburg, München, Stuttgart
 
End of Announcement                             DGAP News-Service
 
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