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EPH Group AG issues further 10% bond with monthly interest payment and collateralization

January 15, 2025

  • Volume up to EUR 50 million, term 7 years

  • Collateralization through pledging of shares in subsidiaries and associated companies

  • Start of subscription period on 01/21/2025

  • Exchange offer to bondholders of the EPH bond 2023-2030

Vienna, January 15, 2025 – EPH Group AG is issuing another fixed-rate tourism corporate bond (WKN: A3L7AM, ISIN: DE000A3L7AM8) with a volume of up to EUR 50 million, a term of seven years, an interest rate of 10% p.a. and a denomination of EUR 1,000. The interest will again be paid out to investors monthly, for the first time on March 24, 2025.

In contrast to the unsecured bonds 2023/2030 issued in July 2023 (ISIN: DE000A3LJCB4), the new bond is secured by the pledging of shares in subsidiaries and associated companies of the issuer. This significantly improves the risk profile of the new bond.

The subscription period for the public offer in Germany and Austria begins on Tuesday, January 21, 2025. The planned value date of the 2025/2032 Bonds is Monday, February 24, 2025. The Bonds can be subscribed for during the offer period via the subscription functionality of the Stuttgart Stock Exchange and via the Issuer's website (www.eph-group.com).

In addition, the issuer is making an exchange offer to the holders of the 2023/2030 bonds (ISIN: DE000A3LJCB4), who can exchange 2023/2030 bonds for the new, secured 2025/2032 bonds at a ratio of 1:1 via their respective custodian bank. The exchange period runs from January 21, 2025, 12:00 noon (CET) up to and including February 12, 2025, 12:00 noon (CET).

The inclusion of the Bonds 2025/2032 in the Vienna MTF of the Vienna Stock Exchange and in the Regulated Unofficial Market of the Stuttgart Stock Exchange is planned from February 24, 2025.

The issuer intends to use the issue proceeds primarily for the further development of a diversified portfolio of high-yield hotels and resorts in the premium and luxury segment in Austria, Germany and other top European destinations. In particular, the further implementation of two existing projects and the acquisition of two new properties, all in Austria, are to be financed. Further information on EPH Group AG's projects will be announced shortly.

Alexander Lühr, CEO of EPH Group AG, comments: “The progress of our current projects is extremely positive. Demand in the premium and luxury hotel segment is growing continuously, even in times of global economic uncertainty, and we are constantly being offered interesting and promising investment opportunities. For this reason, we have decided to issue a new bond. This again offers the same conditions as our first bond from 2023: an interest rate of 10% and a monthly interest payment. In addition to the previous conditions, the new bond is collateralized in order to meet the wishes of interested investors and risk-conscious investors. We are offering investors in the first bond from 2023 the opportunity to exchange their existing bonds for the new bond in order to also benefit from the additional security with the same conditions.”

Detailed information about the company can be found on the homepage www.eph-group.com.

Service:
An EU Growth Prospectus was prepared for the public offering in accordance with the Prospectus Regulation, approved by the Luxembourg Securities and Markets Authority (Commission de Surveillance du Secteur Financier - “CSSF”) and notified to the Austrian Financial Market Authority (FMA) and the German Federal Financial Supervisory Authority (BaFin). The prospectus is published on the company's website at www.eph-group.com and on the website of the Luxembourg Stock Exchange at www.luxse.com.