Daimler Truck Secures Billion Credit

3/27/2024, 12:49 PM

Daimler Truck Secures Mega Loan of 5 Billion Euros – Financial Strength for Future Projects Enhanced.

Eulerpool News Mar 27, 2024, 12:49 PM

In a strategic move to strengthen its financial flexibility, Daimler Truck AG has successfully secured a new revolving credit facility amounting to 5 billion euros. This measure replaces an existing syndicated credit facility of the same volume ahead of schedule and offers the company the opportunity to further increase its financial base by an additional 1.5 billion euros – subject to the approval of the participating banks. With a term of five years and the option to extend twice by one year each, the truck manufacturer ensures long-term liquidity and expands its financial leeway.

The negotiations over the new credit line were coordinated by a group of leading banks, including BNP Paribas, Deutsche Bank, and LBBW, and took place with the participation of a total of 26 national and international banks. This broad support underscores the financial world's confidence in the future viability and financial stability of Daimler Truck.

Despite this positive development in the background, Daimler Truck stock recorded a slight decline of 0.81 percent to 46.68 euros in XETRA trading. This move marks an important milestone for Daimler Truck AG, as the company continues to work on strengthening its financial foundation following its spin-off in order to achieve its long-term strategic goals and to succeed in a competitive market.

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