Not for distribution, directly or indirectly,
in the United States, Canada, Australia or Japan
Nanterre (France), November 8th, 2022
Faurecia successfully prices €700 million of sustainability-linked senior notes due 2026 (the “SL NOTES”)
Faurecia has successfully priced €700 million in aggregate principal amount of SL Notes at 7.25%. The SL Notes are to be issued under Faurecia’s Sustainability-Linked Financing Framework established in October 2021.
We executed an interest pre-hedging arrangement in September 2021 via a swap option for the SL Notes issuance. The economic cost of the SL Notes issuance for the Group, after considering this pre-hedging arrangement, comes to 5.35% (on a non-IFRS basis).
Faurecia will use the net proceeds of the offering of the SL Notes to refinance in part the bridge facilities put in place for the acquisition of Hella. Following the SL Notes issuance, the aggregate amount outstanding under the bridge to bond and bridge to equity will be reduced to approximately €500 million, and is expected to be further reduced to approximately €200 million after the closing of our previously announced disposal of HBPO.
The pricing of this SL Notes issue is fully in line with Faurecia’s commitment to a sustainable future, and in particular with the Group’s ambition to be CO2 neutral on its scopes 1 and 2 by 2025. The Sustainability Performance Target in the SL Notes is in line with our objective validated by SBTi to be CO2 neutral on our Scopes 1 and 2 by 2025 from a 2019 base year
The Sustainability-Linked Financing Framework has been reviewed by ISS ESG, the Second Party Opinion provider, which assessed the contribution of Faurecia’s SL Notes to the Sustainable Development Goals defined by the United Nations (UN SDGs) as having a “Significant Contribution” to “Affordable and Clean Energy” and “Climate action” goals.
An application has been made to list the SL Notes on the official list of Euronext Dublin (Global Exchange Market) and we expect that the SL Notes will be added to the Euronext ESG Bonds platform. The settlement of the SL Notes is expected to occur on 15 November 2022.
IMPORTANT NOTICE
This document is not an offer of securities for sale in the United States. The notes being offered by Faurecia (the “Notes”) may not be sold in the United States unless they are registered under the Securities Act or are exempt from registration. The offering of Notes described in this announcement has not been and will not be registered under the Securities Act, and accordingly any offer or sale of Notes may be made only in a transaction exempt from the registration requirements of the Securities Act.
It may be unlawful to distribute this document in certain jurisdictions. This document is not for distribution in Canada, Japan or Australia. The information in this document does not constitute an offer of securities for sale in Canada, Japan or Australia.
Promotion of the Notes in the United Kingdom is restricted by the Financial Services and Markets Act 2000 (the “FSMA”), and accordingly, the Notes are not being promoted to the general public in the United Kingdom. This announcement is for distribution only to, and is only directed at, persons who (i) have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Financial Promotion Order”), (ii) are persons falling within Article 49(2)(a) to (d) (high net worth companies, unincorporated associations, etc.) of the Financial Promotion Order, or (iii) are persons to whom an invitation or inducement to engage in investment activity within the meaning of section 21 of the FSMA in connection with the issue or sale of any securities may otherwise lawfully be communicated or caused to be communicated (all such persons together being referred to as “relevant persons”). This announcement is directed only at relevant persons and must not be acted on or relied on by anyone who is not a relevant person.
The offer and sale of the Notes will be made pursuant to an exemption under the Prospectus Regulation from the requirement to produce a prospectus for offers of securities. This announcement does not constitute a prospectus within the meaning of the Regulation EU 2017/1129 (the “Prospectus Regulation”) or an offer to the public.
MiFID II professionals/ECPs-only/No PRIIPs KID – Manufacturer target market (MIFID II product governance) is eligible counterparties and professional clients only (all distribution channels). No PRIIPs key information document (KID) has been prepared as the Notes are not available to retail investors in EEA.
MiFIR professionals/ECPs-only/No UK PRIIPs KID – Manufacturer target market (UK MIFIR product governance) is eligible counterparties and professional clients only (all distribution channels). No UK PRIIPs key information document (KID) has been prepared as the Notes are not available to retail investors in the UK.
Neither the content of Faurecia’s website nor any website accessible by hyperlinks on Faurecia’s website is incorporated in, or forms part of, this announcement. The distribution of this announcement into any jurisdiction may be restricted by law. Persons into whose possession this announcement comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.
No money, securities or other consideration is being solicited, and, if sent in response to the information contained herein, no money, securities or other consideration will be accepted.
No money, securities or other consideration is being solicited, and, if sent in response to the information contained herein, no money, securities or other consideration will be accepted.
Youssara ID CHRIFE
Media relations specialist
Tel: +33 (0)6 15 58 40 62
youssara.idchrife@forvia.com
About FORVIA Faurecia
Faurecia, company of the Group FORVIA, is a global automotive technology leader. With 250 industrial sites, 39 R&D centers and 111,000 employees in 33 countries, Faurecia operates through four areas of business: Seating, Interiors, Clarion Electronics and Clean Mobility.
In 2021, the Group reported total turnover of €15.6 billion. Faurecia is listed on the Euronext Paris market and is a component of the CAC Next 20 index and Euronext CAC 40 ESG® indexes. www.faurecia.com
About FORVIA
FORVIA comprises the complementary technology and industrial strengths of Faurecia and HELLA. With over 300 industrial sites and 77 R&D centers, 150,000 people, including more than 35,000 engineers across 40+ countries, FORVIA provides a unique and comprehensive approach to the automotive challenges of today and tomorrow. Composed of 6 business groups with 24 product lines, and a strong IP portfolio of over 14,000 patents, FORVIA is focused on becoming the preferred innovation and integration partner for OEMS worldwide. FORVIA aims to be a change maker committed to foreseeing and making the mobility transformation happen. www.forvia.com
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