Cementos Molins has incorporated a new Commercial Paper programme in the Alternative Fixed Income Market (MARF) for a maximum amount of 100 million euros and maturities of up to 24 months. This program will allow the company to diversify its sources of financing and issue short-term debt over the next 12 months.
The company was founded in 1928 and is currently one of the most important companies within its sector in Spain. Over the years, the Group has focused on sustainability, environmental protection and efificency while developing its products and materials.
It has developed products and materials focused on sustainability, environmental protection and efficiency.
As an international Group, Cementos Molins develops its activity in Spain, Argentina, Uruguay, Bolivia, Colombia, Tunisia and Bangladesh. The Company’s business lines, besides cement, are concrete, aggregates, prefabricated concrete, special mortars, glue cements and eco-materials.
Cementos Molins is listed on the Continuous Market and as of 2019 the company obtained revenues of 797 Million Euros and an EBITDA of 192 Million Euros. The company employs a total of 4.932 workers.
Commercial Papers are an efficient source of funding
Commercial Papers are short-term money-market securities used as a funding source by financial institutions, as well as governments, supranational agencies and mid and large corporations.
For corporate issuers, Commercial Papers are an extremely efficient funding source, that is complementary to banking facilities and credit lines. It is an efficient working capital solution via Debt Capital Markets.
Commercial Papers are issued under a shelf programme, that has an annual validity (renewable) and a predetermined maximum outstanding size. Notes under a CP programme may be issued at a discount or at a premium, they may bear fixed or floating rate interest. Although CPs, most usually, carry an implicit coupon, they are issued at discount and mature at par (100%)
Maturity of Notes ranges from 3 days to 24 months for Pagarés Programmes and from 1 to 364 days for ECP (European Commercial Paper Programmes).
Commercial Papers are multi-currency instruments that can be issued in different currencies; predominantly in EUR, USD, CHF and GBP. They have a minimum denomination of €100K and are intended for wholesale institutional investors, both national and international.
Source: BME (read the entire post here)