DGAP-News: paragon AG / Key word(s): Financing

27.06.2017 / 12:47
The issuer is solely responsible for the content of this announcement.

paragon AG Places Corporate Bond Ahead of Schedule and Sets Coupon at the Lower End of the Interest Margin

- The subscription period ended early due to oversubscription of the offer

- A total bond volume of EUR 50 million was placed

- The coupon is 4.5 % p.a. (at the lower end of the interest margin)

Delbrück, Germany, June 27, 2017 - paragon AG (ISIN DE0005558696) has already placed their new corporate bond (ISIN DE000A2GSB86; WKN A2GSB8) today, the first day of the subscription period, with a total volume of EUR 50 million, which was higher than the target volume. Due to oversubscription of the offer, the subscription period, which should originally have lasted until June 29, 2017 (2:00 p.m. CEST), was ended early today (10:30 a.m. CEST). The final annual interest rate was set at 4.5% p.a. and is therefore at the lower end of the interest margin that was reported before the start of the subscription (4.50%-5.00%).

The first trading day (trading on terms of issue) for the bonds in the open market (free trade) of the Frankfurt Stock Exchange in Deutsche Börse AG's Scale segment for corporate bonds is expected to be June 28, 2017. July 5, 2017 remains the issue date and the beginning of the interest term.

"We are very pleased with the quick placement and our good access to the capital market on the debt side," said Klaus Dieter Frers, founder and CEO of paragon AG. "Our original EUR 40 million target volume was clearly exceeded and we have now obtained the financial basis to swiftly implement our growth strategy."

Basic bond information

Issuer paragon Aktiengesellschaft
Type of security Bearer bond
Volume placed EUR 50 million
Use of funds Financing growth and refinancing the bond due on July 2, 2018. Further optimization of the current financing structure is also being targeted
Denomination / nominal value per bond EUR 1,000
Interest rate (coupon) 4.5%
Term 5 years; July 5, 2017 (included) to July 5, 2022 (excluded)
Issue price / redemption rate 100%
Status Unsubordinated, unsecured
Creditor cancellation rights / change of control / negative pledge Cancellation rights in case of cross default or unauthorized distribution among other things; early repayment at the option of the bond holder in case of change of control; negative pledge in connection with the collateralization of current and future capital market obligations of the issuer
Early repayment at the option of the issuer Early termination at the option of the issuer in whole or in part from July 5, 2020; for tax reasons; in case of insignificance of the total outstanding nominal amount
Law German law
Documentation Prospectus (including supplement no. 1), approved by the CCSF (Luxembourg), notification to BaFin (Germany)
Listing Open market (free trade) of the Frankfurt Stock Exchange in Deutsche Börse AG's Scale segment for corporate bonds
Sole global coordinator Bankhaus Lampe KG
Joint bookrunners Bankhaus Lampe KG and Hauck & Aufhäuser Privatbankiers Aktiengesellschaft
Deutsche Börse capital market partner Bankhaus Lampe KG

This publication is for informational purposes only and constitutes neither an offer to sell nor an invitation to treat nor an invitation to subscribe to securities. The securities that are the subject of this publication were offered by the issuer exclusively in the Federal Republic of Germany and the Grand Duchy of Luxembourg by way of a public offer. The Offer has since ended. There is no longer a possibility to subscribe. In particular, the securities have not been and will not be registered pursuant to the U.S. Securities Act of 1933 in its respective current version ("Securities Act") and may not be offered or sold in the United States of America without prior registration under the Securities Act. The securities also will not qualify for an exemption from registration pursuant to the Securities Act. The company does not intend to register any portion of the offering in the United States or to conduct a public offering of the securities in the United States.

This publication does not constitute a prospectus. The Offer was made exclusively on the basis of the prospectus approved by the Luxembourg Financial Supervisory Authority (CSSF) on June 19, 2017, and notified to the Federal Financial Supervisory Authority of Germany (BaFin), as updated by supplement No.1 (dated June 26, 2017). The approved securities prospectus, as updated by supplement No. 1, can be viewed and downloaded on the issuer's website at www.paragon.ag in the Investors/Bonds section.

This publication is not intended for distribution, transmission or publication, either directly or indirectly, in whole or in part, in the United States of America, Canada, Australia and Japan nor in countries where the dissemination of this publication is unlawful.


Company Profile

paragon AG (ISIN DE0005558696), which is listed in the regulated market (Prime Standard) of the Frankfurt Stock Exchange, develops, produces and distributes products and systems in the field of automotive electronics, e-mobility and body kinematics. As a direct supplier to the automotive industry, the company's portfolio includes the Electronics operating segment's innovative air-quality management, state-of-the-art display systems and connectivity solutions, and high-end acoustic systems. With the Voltabox subsidiaries, the Group is also active in the rapidly growing Electromobility operating segment with its own lithium-ion battery systems developed in-house. In the Mechanics operating segment, paragon develops, produces and distributes adjustable body components such as adaptively extendable spoilers. paragon AG and its predecessors look back on almost 30 years of company history. In addition to the company headquarters in Delbrück (North Rhine-Westphalia, Germany), paragon AG and its subsidiaries operate sites in Suhl (Thuringia, Germany), Nuremberg (Bavaria, Germany), St. Georgen (Baden-Württemberg, Germany) and Bexbach (Saarland, Germany) as well as in Kunshan (China) and Austin, Texas (USA).

Financial Press & Investor Relations Contact

paragon AG

Dr. Kai Holtmann
Artegastrasse 1
33129 Delbrück, Germany
Phone: +49 (0) 52 50 - 97 62-140
Fax: +49 (0) 52 50 - 97 62-63
Email: kai.holtmann@paragon.ag

27.06.2017 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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