dsm-firmenich announces that it has signed a cross guarantee agreement between DSM B.V., Firmenich International SA and DSM-Firmenich AG, to mitigate structural subordination in the group.

The agreement allows the group to develop a centralized financing structure, in line with its commitment to maintain strong investment grade ratings, and develop a pari-passu platform for existing and future senior unsecured notes.

The cross guarantee agreement includes downstream guarantees from the top parent company DSM-Firmenich AG to its wholly owned subsidiaries DSM B.V. and Firmenich International SA. In addition, there are also upstream guarantees from these two subsidiaries to the parent company. The guarantees are irrevocable and unconditional, and cover existing and future senior unsecured debt instruments across these entities, including the group’s existing senior unsecured bonds.