The Romaco Group has once again opted for a financing solution with regional savings banks to underpin its future strategic development
The new finance package has a volume of €52.5 million and a term much longer than is usual in the industry. All in all, seven local savings banks were involved in the renewal of the financing: Pforzheim Calw, Karlsruhe Ettlingen, Rhein-Nahe, Biberach, Ludwigsburg, Tuttlingen and Göppingen. Kreissparkasse Biberach and Sparkasse Pforzheim Calw were charged with structuring the financing concept.
“This consortium of regional savings banks, led by Kreissparkasse Biberach, has repeatedly proved its ability to provide us with competent support when it comes to financing solutions,” emphasised Carsten Strenger, COO/CFO of Romaco Holding GmbH. “I’m delighted that such strong financial partners have agreed to accompany the Romaco Group on its future journey. That gives us the security we need to plan long-term growth projects.”
The new financing plan takes account of the Romaco Group’s decision to increase its international focus in the next few years. Amongst other things, a separate export financing line was developed by the savings bank consortium especially for this purpose.
In addition to this, capital in the form of profit participation certificates was contributed by Chancenkapital BC, a holding company of Kreissparkasse Biberach. Long-term loans as well as modules for corporate financing and for funding working capital are other capital-raising measures.
The individual tranches have been placed with the savings banks in Karlsruhe-Ettlingen, Rhein-Nahe, Ludwigsburg, Tuttlingen and Göppingen. Sparkasse Pforzheim Calw is acting as security trustee while documentation and handling for the banks are in the hands of Kreissparkasse Biberach.
“Our solution is tailored to the needs of the Romaco Group and will help secure its international growth strategy,” explained Marie-Louise Hiemer of the Competence Centre Corporate Finance at Kreissparkasse Biberach. In line with the principle “From the region – for the region,” it further strengthens the already close ties between the savings banks and the Romaco Group as a mid-market company. Kreissparkasse Biberach is the single point of contact for all stakeholders.
Kreissparkasse Biberach is a regionally focused public sector financial services institute. As a fully integrated part of the Sparkassen Financial Group, it is one of Baden-Württemberg’s top ten savings banks. Its Competence Centre Corporate Finance, established in 2004, emerged from Chancenkapital BC and develops special, made-to-measure financing solutions to support strategic business planning.