Covestro issued its first-ever Schuldschein debt instrument on October 7, 2022. The Schuldschein is linked to an environment, social, governance (ESG) rating. It was issued in tranches comprising fixed and variable interest-rates with terms of three, five and seven years.

The debt instrument is denominated in U.S. dollars and euros. As a result of strong demand, the total volume of the Schuldschein vastly exceeded the announced volume of EUR 300 million equivalent in a challenging capital market environment.

At EUR 650 million equivalent, the Schuldschein ranks among highest-volume Schuldschein issuances in 2022. This represents a successful debut for Covestro in the market for Schuldschein loans. The proceeds from the issue are used for general corporate purposes.

Dr. Thomas Toepfer, CFO of Covestro, said: “We are extremely satisfied with our debut transaction in this very active Schuldschein market. The high volume of EUR 650 million equivalent shows just how much confidence investors have in our company and bolsters our liquidity position substantially once again.”

The Schuldschein will bolster Covestro’s financial foundation and extend the average term of its financing portfolio. The company was also able to attract new investors from Europe and Asia, a step that further diversified its financing resources. Covestro was supported in the issuance process by Commerzbank, Helaba and Unicredit.