KD Pharma Group seeks advice from A&O Shearman on financial law aspects

EUR180 million bridge facility and placement of Nordic bond

In a first transaction, the firm's team advised KD Pharma Group on a EUR180m bridge facility provided by Norway's DNB Bank ASA, under which the issuer fully repaid its previous financings in September 2024.

Furthermore, A&O Shearman has advised KD Pharma Group on the successful placement of a EUR180m senior secured bond (Nordic Bond) due October 10, 2029. The bond will pay a quarterly floating rate coupon of 3-month EURIBOR + 5.25% per annum. The issue amount of EUR180m was successfully placed with institutional investors.

The bond will be included in the Open Market (Freiverkehr) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) and is expected to subsequently be listed on the Oslo Stock Exchange (Oslo Børs). The net proceeds from the bond issue will be used to refinance existing debt and for general corporate purposes of the group.

DNB Markets, a part of DNB Bank ASA, acted as Sole Manager in the bond issue and Herter & Co. – A Teneo Company acted as Debt Advisor to the company.

Acquisition of dsm-firmenich’s Marine Lipids business

In addition, A&O Shearman advised KD Pharma Group on financial aspects in connection with the acquisition of the Marine Lipids business from dsm-firmenich.

dsm-firmenich is a Swiss-Dutch company, listed on the Euronext Amsterdam, with operations in almost 60 countries, 30.000 employees and revenues of more than EUR12 billion. As innovators in nutrition, health, and beauty, dsm-firmenich reinvents, manufactures, and combines vital nutrients, flavors, and fragrances.

The KD Pharma Group, a portfolio company of private equity investor Capiton, creates health solutions in the pharmaceutical and nutraceutical space. It is also the worldwide leading producer Omega-3 fatty acids for the pharmaceutical and nutraceutical markets, formulation and encapsulation services.

The Banking & Finance team of A&O Shearman was led by partner Dr Walter Uebelhoer and also comprised senior associates Nils Holzgrefe and Sebastian Hanke and associates Hans-Joachim Englert, Athanasios Giannakakos and Ann-Kathrin Ludwig (all banking & finance, Munich and Frankfurt). The team providing capital markets law advice was led by counsel Nadine Kämper and comprised partners Dr Knut Sauer and Marc Plepelits, senior associate Martin Schmidt and associate Patrick Reuter (all capital markets, all Frankfurt). Partners Florian Lechner, Dr Heike Weber and Tim Drach and associates Niklas Knieß and Damian Snop (all tax, all Frankfurt) advised on tax law aspects.