High Demand and Attractive Pricing: CHEPLAPHARM's New 7.125% Bond Multiple Times Oversubscribed

Greifswald, Germany, June 26, 2025

CHEPLAPHARM Arzneimittel GmbH ("CHEPLAPHARM"), a leading international pharmaceutical platform for established branded medicines, announces the successful placement of €750m of senior secured notes at an interest rate of 7.125%. The proceeds from the new bond will be used for the early redemption in full of CHEPLAPHARM’s €500m notes due 2027 and for the partial refinancing of CHEPLAPHARM’s notes maturing in 2028. The transaction increases CHEPLAPHARM's financial flexibility and enables it to extend its maturity profile at attractive conditions. 

At launch, CHEPLAPHARM targeted an issue size of €500m for the transaction. As interest in the deal grew, the transaction became multiple times oversubscribed, allowing CHEPLAPHARM to increase the deal size to €750m while simultaneously reducing the coupon to 7.125%.

"I am very pleased about this successful capital market transaction, which enables us to address our medium-term maturities at an early stage and thus significantly increase our financial flexibility", says Dr. Kia Parssanedjad, CFO of CHEPLAPHARM. "After the challenging financial year 2024, we have recently been able to show significant progress in our transformation program and a visible stabilization of our operating performance. This development has enabled us to strengthen investor confidence in our path, which, together with a currently constructive capital market environment, has created the basis for this successful issue. On behalf of the entire Management Board, I would like to once again expressly thank our existing and new investors for their support. Now it is time to consistently continue on the path we have taken with our transformation program and thus create the basis for further growth." 

The new senior secured EUR notes (the “Notes”) have a maturity in 2031. The Notes shall be issued on July 2, 2025, subject to customary closing conditions.

Deutsche Bank and J.P. Morgan acted as Joint Global Coordinators and Bookrunners in the transaction. Joint Bookrunners were Barclays , Bank of America , Citigroup , Commerzbank , Goldman Sachs , ING, UBS , and UniCredit. On the legal side, CHEPLAPHARM was supported by Latham & Watkins, while Freshfields LLP was mandated as legal advisor to the banks. 

About CHEPLAPHARM

CHEPLAPHARM is a family-owned company with headquarters in Greifswald. For over 20 years, the company has been very successful in taking over well-known and well-established medicines from the research-based pharmaceutical industry and transferring them to an existing global network of partners for production and distribution. In this way, CHEPLAPHARM ensures the continuous supply of these medicines to patients worldwide. In addition to its headquarters in Greifswald, CHEPLAPHARM operates further sites in France, Japan, Russia and Switzerland. The company employs around 800 people worldwide.

Please refer to www.cheplapharm.com for additional information.

CHEPLAPHARM Arzneimittel GmbH
Ziegelhof 24, 17489 Greifswald, Germany

CHEPLAPHARM Investor Relations:
Email: investor-relations@cheplapharm.com

CHEPLAPHARM Press Office:
Email: presse@cheplapharm.com

DISCLAIMER

This announcement does not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other security and shall not constitute an offer, solicitation or sale in the United States or in any jurisdiction in which, or to any persons to whom, such offering, solicitation or sale would be unlawful.

The Notes and the related guarantees have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or the securities laws of any state or other jurisdiction of the United States, and may not be offered or sold within the United States, or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state or local securities laws. Accordingly, the Notes and the related guarantees have been offered and sold (i) in the United States only to qualified institutional buyers in accordance with Rule 144A under the Securities Act and (ii) in “offshore transactions” to non-U.S. persons outside the United States in accordance with Regulation S under the Securities Act. There is no assurance that the issuance of the Notes will be completed or, if completed, as to the terms on which they will be completed.

The offer and sale of the Notes has been made pursuant to an exception under the Regulation (EU) 2017/1129 (the “Prospectus Regulation”) from the requirement to produce a prospectus for offers of securities. This press release does not constitute a prospectus within the meaning of the Prospectus Regulation or an offer to the public.

The distribution of this press release into certain jurisdictions may be restricted by law. Persons into whose possession this announcement comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the laws of any such jurisdiction.

Forward-looking Statements

This news release may include “forward-looking statements” within the meaning of the securities laws of certain applicable jurisdictions. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this news release, including, without limitation, those regarding Cheplapharm’s intentions, beliefs or current expectations concerning, among other things: Cheplapharm’s future financial conditions and performance, results of operations and liquidity; Cheplapharm’s strategy, plans, objectives, prospects, growth, goals and targets; future developments in the markets in which Cheplapharm participates or is seeking to participate; and anticipated regulatory changes in the industry in which Cheplapharm operates. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “anticipate”, “believe”, “continue”, “ongoing”, “estimate”, “expect”, “intend”, “may”, “plan”, “potential”, “predict”, “project”, “target”, “seek” or, in each case, their negative, or other variations or comparable terminology. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors because they relate to events and depend on circumstances that may or may not occur in the future. Readers are cautioned that forward-looking statements are not guarantees of future performance and that Cheplapharm’s actual financial condition, results of operations and cash flows, and the development of the industry in which Cheplapharm operates, may differ materially from (and be more negative).