Debt

Pirelli in figures Pirelli in figures (1,22 MB)


Pirelli, on January 9 2015, signed two new revolving line of credit for 1.2 billion euros in the form of term loan and revolving, respectively for 1.0 and 0.2 billion euros, both with a duration of five years. The new lines replaced previous line of credit worth a total of 1.2 billion euros, launched in November 2010 with maturity in 2015.

Press Release: Pirelli signs new revolving credit line


 

Details on the Credit Facility signed January 9, 2015

 

Banks Total Line Maturity Covenant variable Negative Pledge
Bank of Tokyo-Mitsubishi, Barclays Bank PLC, BBVA, BNP Paribas, Commerzbank AG, Deutsche Bank AG, Mizuho, Natixis, Société Générale e UniCredit Bank AG €1.0 bln 2020 None Not to grant real guarantees, above a threshold defined as the greater of €200 mln and 5% of Total Assets*
Banca Imi S.p.A., Banca Popolare di Milano S.C.AR.L. and Mediobanca – Banca di Credito Finanziario S.p.A. €0,2 bln 2020 None Not to grant real guarantees, above a threshold defined as the greater of €200 mln and 5% of Total Assets*

* with the exception of real guarantees on the existing debt or debt to replace it, to be granted by law, relating to “export finance”, “project finance” and subsidized finance

 




In the context of the public offer over the Pirelli shares, Marcopolo Industrial Holding arranged committed credit lines in the form of term loan and revolving credit facility with a pool of banks, for a total amount of 6.8 billion euros originally expiring in October 2016 (later extended to December 2016), split between “Bidco Facility” totaling 4.4 billion euro (only partially drawn as of 31.12.2015) to serve the tender offer, and “Target facility” totaling 2.4 billion euro as back-up in case of partial refinancing need for Pirelli existing debt. After the merger, it is foreseen that the foretold credit lines will be refinanced through a sole credit line already arranged by the bidder (Mergeco Facility) for a total amount of 6.8 billion euro, expiring in October 2016 (later extended to December 2016).

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Details on the Credit Facility for Marcopolo Industrial Holding

 

Banks Total Line Maturity Covenant variable Negative Pledge
 
J.P. Morgan Securities plc, China Construction Bank (Europe) S.A., Intesa Sanpaolo S.p.A., Unicredit S.p.A., Banca Popolare di Milano S.c. a r.l., Bank of America Merrill Lynch International Limited, Barclays Bank PLC, Bnp Paribas, Italian Branch, The Bank of Tokyo-Mitsubishi UFJ, Ltd., Milano Branch, Commerzbank Aktiengesellschaft Filiale di Milano, HSBC Bank plc, ICBC (Europe) S.A., Milan Branch, ING Bank N.V., Milan Branch, Mediobanca – Banca di Credito Finanziario S.p.A., Natixis S.A., Milan Branch, Société Générale, Société Générale S.A., Milan Branch, Standard Chartered Bank and Mizuho Bank, Ltd., Milan Branch. €6.8 bln December 31 2016 link link
 
 

Last Revised: 31 Mar 2016