SAF-HOLLAND S.A. raised EUR 143.7 million as part of a capital increase. A total of 20,535,100 new shares were placed at a price of EUR 7 with institutional investors in a single day. Five percent of the new shares were allotted to retail investors in Germany.
The company used proceeds from the capital increase primarily to reduce debt. This not only improves balance sheet structure, but also leads to future savings of interest payments in the double-digit million range.
Detlef Borghardt, deputy CEO of the SAF-Holland Group, noted, “Our company is lean and strong. Thanks to the capital increase, we now also have a healthy balance sheet and can continue to pursue our planned growth path.” In the medium term, SAFHOLLAND aims to generate global sales of EUR 1 billion. In 2010, sales were EUR 631 million.