Bonds & credit rating
As a basis for and contribution to effective risk management and to ensure that the company will be able to pursue its strategies even during periods of economic downturn, Royal DSM N.V. retains a solid financial policy.
In the new strategy 'DSM in Motion: driving focussed growth' new ambitious targets have been set. For 2013 an increase in EBITDA to a level of €1.4 to €1.6 billion and an increase in the return on Capital Employed to more than 15% are aimed at.
DSM targets a gearing which is below 30% of equity plus net debt, and an operating profit before amortization and depreciation (EBITDA) which is at least 8.5 times the balance of financial income and expenses. Furthermore, funds from operations needs to be at least 30% of net debt in accordance with the definitions of the major credit rating agencies. This underlines the company's aim of maintaining its Single A Long-term credit rating. Under certain circumstances the gearing could be raised to a level of between 30% and 40% , provided that the boundaries at the desired Single A credit rating remain attainable.
Credit rating
Royal DSM N.V. aims to maintain a single A long-term credit rating for senior unsecured debt. To this purpose, regular review meetings between rating agencies and DSM senior management are arranged. The rating agencies Moody’s and Standard & Poors have awarded the following ratings for the company’s short-term debt and long-term debt:
| Rating Agency | Long/short term rating | Outlook | Last Update |
|---|---|---|---|
| Moody's | A3 / P - 2 | Stable | October 27, 2011 |
| Standard & Poor's | A / A1 | Stable | November 24, 2011 |
Our current public debt programs include:
- The 4.00% EUR bond loan 2005 – 2015 of Royal DSM N.V. (PDF, 2.39MB)
- The 5.25% EUR bond loan 2007 – 2017 of Royal DSM N.V. (PDF, 1.67MB)
- The 5.75% EUR bond loan 2009 – 2014 of Royal DSM N.V. (PDF, 782.41KB)
Other Bonds consist primarily of a US loan rule 144a issued the US in 1999 for 400 mln USD, of which 250 mln USD matured in 2009 and a US Private Placement issued in the US in 2003 for 300 mln USD, of which 150 mln USD matures in 2013 and 150 mln USD matures in 2015.
The weighted average interest rate of the bonds (including derivatives) was 4.0% in 2010.
Links & Downloads
Legal disclaimer
This website contains information and documents which are for information purposes only. They neither constitute an offer nor an invitation nor a recommendation to subscribe to or to purchase, to hold or sell securities, nor are the information or documents contained on this website meant to serve as a basis for any kind of obligation, contractual or otherwise.
Publication of prospectuses on this website is done in accordance with legal requirements in connection with the admission to trading of securities.
Distribution of information and documents contained on this website, esp. prospectuses, may be forbidden or limited by legislation of some jurisdictions.
Access is denied to persons to whom these restrictions in such jurisdictions apply. Each visitor to this website is required to inform himself accordingly and to comply with applicable restrictions. Royal DSM N.V. is in no way liable for any such infringement.
THE INFORMATION AND DOCUMENTS CONTAINED ON THIS WEBSITE ARE NOT DIRECTED AT AND MAY NOT BE VIEWED BY OR DISTRIBUTED TO ANY PERSON RESIDENT IN THE UNITED STATES OF AMERICA.
By entering the following parts of this website you confirm that you are not a resident of the United States of America and that you will not distribute any of the information and documents contained thereon to any person resident in the United States of America.
You further acknowledge that the following information and documents neither constitute an offer nor an invitation nor a recommendation to subscribe to or to purchase, to hold or sell securities.
