Latest news with #EUR750
Yahoo
20-05-2025
- Business
- Yahoo
The Republic of Iceland marked a highly successful return to the Capital Markets in 2025 with a new €750 million 5-year bond
Issuer: Republic of Iceland Issuer Rating: A1/A+/A Size: EUR750 million Lead Managers: Barclays, BNP Paribas, Citi, JP Morgan Pricing Date: 20 May 2025 Settlement Date: 27 May 2025 Maturity Date: 27 May 2030 (T+4) Coupon: 2,625% Spread to mid-swaps: m/s+42bps Spread to benchmark: OBL 2.400% Apr-30 +52.3bps Re-offer price: 99,783% Re-offer yield: 2,672%Transaction Summary On Tuesday, 20th May 2025, the Republic of Iceland, rated A1 /A+ /A (stab/stab/stab) successfully returned to the Euro debt capital markets with a new EUR750 million benchmark due 27th May 2030. The transaction was priced with minimal new issue concession at m/s+42bps, equivalent to a spread of 52.3bps vs the OBL 2.400% Apr-30, whilst amassing over EUR4.3 billion of high-quality orders. This represents the largest conventional orderbook on record for the Republic. Joint lead managers for the new issue were Barclays, BNP, Citi and JP Morgan. Pricing and Execution: On 19th May 2025 at 09:23 UKT, the mandate was announced for a new 5-year Euro-denominated benchmark with 1-on-1 investor calls held with representatives of the Republic throughout the day. The Republic of Iceland concurrently announced an any-and-all tender offer for its EUR500 million 0.625% Notes due 3 June 2026, expiring 5.00pm CEST on Friday, 23rd May 2025. Following positive investor engagement overnight, initial guidance was released to the market the following day at 08:14 UKT at m/s+50bps area. With orders accelerating in excess of EUR2.8 billion (excl. JLM interest), the Republic revised guidance 5bps tighter to m/s+45bps area (+/- 3bps WPIR) at 10:35 UKT. The high-quality demand supported setting the final size at this stage which was communicated at EUR750 million. At 11:17 UKT, the high-quality orderbook surpassed EUR3.6 billion (excl. JLM interest) which enabled the spread to be set at m/s+42bps. This represented minimal new issue premium vis-à-vis the issuers EUR curve. Books officially closed at 11:45 UKT with orders above EUR4.3 billion (excl. JLM interest). This represents the largest conventional ICELND orderbook on record, with only the inaugural Green 10-year ICELND benchmark due Mar-34 attracting higher total demand. At 14:05 UKT, the new EUR750 million 2.625% May 2030 ICELND benchmark was priced at m/s+42bps with a re-offer yield of 2.672% p.a. Distribution: This transaction confirms the strong investor demand for the Republic of Iceland's credit in the international investor community, with a wide range of investors participating across the United Kingdom and Europe. Accounts from Germany / Austria / Switzerland received 25% of the allocations, Nordics 21%, UK 16%, Sothern EU 13%, Benelux 11%, France 8% and 6% to Others. By investor type, Fund Managers led the book with 53% of allocations, followed by Central Banks / Official Institutions with 17%, while Banks received 17% and Insurance / Pensions took 12%. Hedge Funds rounded out the remainder of the book with 1% allocation Attachment 250520 Iceland EUR750mn 5-year (May-30) - Final Press Release
Yahoo
07-03-2025
- Business
- Yahoo
Basf SE (BASFY) (Q4 2024) Earnings Call Highlights: Strong Financial Performance and Strategic Moves
EBITDA Before Special Items: Increased by 2% for BASF Group; 19% improvement in Q4 to EUR1.6 billion. Free Cash Flow: Approximately EUR750 million, exceeding forecast range of EUR100 million to EUR600 million. Sales: EUR15.9 billion in Q4, matching prior year quarter. Volumes: Increased by 3% in BASF Group, excluding precious and base metals. Net Income: EUR1.3 billion compared with EUR225 million in 2023. Cash Flows from Operating Activities: Decreased by EUR1.2 billion to EUR6.9 billion in 2024. Capital Expenditures: Payments rose by EUR803 million to EUR6.2 billion in 2024. Net Debt: Increased by EUR2.2 billion to EUR18.8 billion at the end of 2024. Adjusted EBITDA Margin Before Special Items: Increased from 12.6% to 13.1%. EBIT Before Special Items: EUR3.9 billion, an increase of 3% compared with the prior year. Special Items in EBIT: Minus EUR1.9 billion, mainly due to restructuring costs and impairments. Dividend Proposal: EUR2.25 per share for 2024, totaling around EUR2 billion payout. CO2 Emissions: Scope 1 and Scope 2 emissions stable at 17 million metric tons in 2024. Capital Expenditures Forecast (2025-2028): EUR16.2 billion planned, with EUR5 billion in 2025. Warning! GuruFocus has detected 9 Warning Signs with BASFY. Release Date: February 28, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. BASF SE (BASFY) reported an 18% growth in EBITDA before special items for its core businesses compared to 2023. The company exceeded its free cash flow forecast, achieving EUR750 million against a forecast range of EUR100 million to EUR600 million. BASF SE (BASFY) made significant progress in portfolio management, including the sale of its Decorative Paints business to Sherwin-Williams. The Agricultural Solutions segment showed strong volume growth in all regions, maintaining specific margins at the level of the prior year quarter. BASF SE (BASFY) plans to distribute at least EUR12 billion to shareholders from 2025 to 2028, including dividends and share buybacks. Currency headwinds, particularly related to the Brazilian real, slightly dampened sales growth. The Surface Technologies segment recorded lower volumes, particularly in mobile emission catalysts and precious metal services, leading to a slight decline in EBITDA before special items. The Nutrition & Care segment faced production outages due to a fire, impacting volumes in the Nutrition & Health division. The Chemicals segment experienced a slight decline in specific margins despite higher margins in intermediates. Net debt increased by EUR2.2 billion to EUR18.8 billion at the end of 2024, mainly due to higher long-term debt. Q: Can you discuss the China recovery story and the outlook for Q1, especially regarding the Agricultural Solutions business? A: Markus Kamieth, CEO, noted that while the year 2024 was generally good for BASF in China, the fourth quarter saw a slowdown in business dynamics, particularly in upstream markets. However, the start of 2025 shows some positive signs in volume growth and pricing. Dirk Elvermann, CFO, added that the start of the year is unexciting but stable, with some positives in core businesses and ongoing good business in Care Chemicals. The Agricultural Solutions business is fundamentally okay, with some inventory challenges in North America but overall on track. Q: Regarding Agricultural Solutions, was the positive pricing in Q4 mostly seen in seeds rather than ag chemicals? Also, how might tariff changes from Washington affect BASF? A: Dirk Elvermann confirmed that the positive pricing was predominantly in seeds, particularly field crop seeds, but also in herbicides. Markus Kamieth explained that BASF is not directly impacted by potential tariffs due to its high production share in the US. However, customers might consider tactical production relocations, but no major shifts have been observed yet. Q: Can you provide more details on the expected EBITDA contribution from the new Verbund site in China for 2026? A: Markus Kamieth stated that while the start-up costs for the Zhanjiang site will ramp down significantly in 2026, it is too early to provide specific EBITDA contributions for that year. The business will start up, and guidance on EBITDA contribution will be provided later. Q: What factors are driving the expected considerable increase in EBITDA for the Surface Technologies segment? A: Markus Kamieth highlighted that the increase is driven by cost savings initiatives, market share gains in both Coatings and ECMS, and a significant improvement in the Battery Materials business. Despite a flat automotive market, these factors contribute to the expected growth. Q: How is BASF handling the gas supply situation, and what is the company's stance on potentially resuming gas purchases from Russia? A: Dirk Elvermann stated that BASF has no plans to resume gas supply from Russia. The company has secured gas supply through European hubs and long-term LNG contracts from the US. Markus Kamieth added that any potential return of Russian gas would only affect supply/demand balance and not have a specific impact on BASF. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
