DF Deutsche Forfait AG expands is operational capacity with loans totaling EUR 40 million

• Important milestone on the way towards strengthening the capital base
• Details of the swap offer to bondholders expected to be published on Monday, 18 May

DF Deutsche Forfait AG and its lending banks have signed the credit documentation for loans totaling EUR 40 million running until 31 December 2016. Just like the planned measures aimed at strengthening the company’s equity capital, the loan is an important step towards restoring DF Group’s full operational capacity.

Says Frank Hock, CFO of DF Deutsche Forfait AG: “By signing the credit agreements, our long-standing financing partners underline their confidence in our tried-and-tested business model. This gives us, our shareholders as well as the new investors, who will participate in the equity raising measures, the necessary planning certainty. We thank the representatives of the lending banks for their support during the OFAC listing and for their cooperation in this critical phase of the DF Group’s restructuring. The preconditions for the planned equity measures are now in place.”

The signing of the credit agreements also means that a key precondition for the amendment of the terms and conditions of DF Deutsche Forfait AG’s corporate bond (ISIN: DE000A1R1CC4, “DF bond”) has been fulfilled as required according to the resolution adopted by the second bondholders’ meeting on 19 February. Together with the credit agreement, the collateralization concept agreed with the bondholders’ joint representative, One Square Advisory Services, and the lending banks in early March will also become effective.

The readiness of all debt capital providers to supply DF Deutsche Forfait AG with debt capital at greatly reduced interest rates for the coming years will contribute to make DF Group profitable again.

Subscription offer to bondholders expected to start next week

The subscription offer to bondholders as part of the non-cash capital increase from authorized capital in the amount of up to 3,400,000 shares against the contribution of bonds held by the company’s bondholders will probably be published next Monday, 18 May 2015. It is an important element of the restructuring concept devised by the Board of Management with the consent of the Supervisory Board.

Says Frank Hock: “The restructuring concept consists of four key elements, namely the credit agreements, the amendment of the terms and conditions of the DF bond as well as the non-cash and cash capital increase. We have just reached the finishing line as far as the first two elements are concerned. We will now have to strengthen the equity base in order to be able to fully exploit the huge business potential offered by our market in the second half of the year.”