Nomad Foods Secures Significant Term Loans to Enhance Financial Flexibility

Nomad Foods Limited, a leader in Europe's frozen food industry, recently announced the pricing of two significant term loans totaling over a billion dollars. This move marks a strategic step in enhancing the company's financial stability and flexibility, allowing it to continue to grow and sustain its operations effectively.

The term loans consist of a USD 620 million facility that will be tied to the SOFR rate plus 2.5% and a EUR 880 million facility linked to the EURIBOR at the same margin. Both loans are due in 2032 and will help bolster the company's balance sheet. The decision to enter these financial agreements demonstrates Nomad Foods' commitment to maintaining its strong cash flow and competitive position in the market.

Additionally, the company has managed to extend the duration of its Revolving Cash Facility by an additional seven years, pushing the maturity date to 2032. This facility, amounting to EUR 175 million, will provide Nomad with ample liquidity for ongoing business expenses and investment opportunities.

The net proceeds from the term loans are intended for a variety of purposes, including the repayment of existing debt, covering transaction costs, and supporting general corporate activities. By refinancing its obligations, Nomad Foods is taking a significant step to ensure long-term sustainability while positioning itself favorably in the competitive frozen food market.

Ruben Baldew, the Chief Financial Officer of Nomad Foods, expressed satisfaction with the outcome of the refinancing efforts, highlighting the appreciation from the credit markets for the company's robust and consistent cash flows. Baldew noted, "We are pleased to have extended our maturities at attractive rates while expanding our borrowing capacity, which provides greater flexibility for capital allocation. This achievement is beneficial not only for our company but also for our credit holders and investors, reflecting the strength of our brands and operations."

This refinancing initiative comes at a time when Nomad Foods is striving to enhance its brand portfolio, which includes well-known names such as Birds Eye, Findus, iglo, Ledo, and Frikom. These brands, having been part of consumers' meals for generations, emphasize high quality, nutritious offerings that are conveniently available to customers.

The loans are expected to close by November 10, 2025, pending customary closing conditions, with Citibank, Deutsche Bank, and Jefferies acting as mandated lead arrangers. Other reputable banks including BNP Paribas, Credit Agricole, Goldman Sachs, Morgan Stanley, NatWest, and Rabobank are also involved as joint bookrunners.

Overall, this financial maneuver solidifies Nomad Foods' position as a leading player in the frozen food sector. With an eye toward future growth and sustainability, the company's actions are poised to benefit both its corporate strategy and stakeholder interests by ensuring a strong financial foundation for years to come.

About Nomad Foods

Nomad Foods (NYSE: NOMD) is recognized as Europe's leading frozen food company. Its portfolio of iconic brands has stood the test of time, becoming synonymous with taste, quality, and nutrition. Headquartered in the United Kingdom, Nomad Foods continues to serve consumers looking for convenient and high-quality food options. Further details about the company can be found on their investor relations webpage at Nomad Foods Investors.

In summary, Nomad Foods' recent financial developments signal a promising future as they embark on a journey of continued growth and expansion in the frozen food market.