#Italy #pharmaceutical #Bond Issuance #FIS #Montecchio Maggiore

FIS Achieves Milestone with 770 Million Euros Bond Issuance

Introduction
FIS - Fabbrica Italiana Sintetici, a prominent Italian company known for its development and manufacturing of pharmaceutical active ingredients, recently made headlines by successfully concluding a significant bond issuance totaling 770 million euros. This noteworthy achievement has not only solidified FIS's financial standing but has also showcased the high level of trust investors place in the company's future.

Bond Details
The bond issuance was comprised of two primary components: 300 million euros in fixed-rate notes with an interest rate of 5.250% per annum, and 470 million euros in floating-rate notes linked to the three-month Euribor, plus 325 basis points. Both types of bonds, which were issued at par, will mature in February 2031. This substantial financing initiative marks a critical step for FIS as it aims to bolster its liquidity and financial flexibility as part of its ongoing growth strategy.

Market Success
FIS's bond offering witnessed an overwhelming demand, leading to significant oversubscription by institutional investors. Such a robust response underscores market confidence in FIS's strategic direction and its solid financial performance. The high level of investor interest reflects a positive outlook on the company’s ability to sustain its operations and achieve its long-term goals. CEO Daniele Piergentili expressed satisfaction with the transaction, noting that the investor response affirms the strength of their business model and growth plan.

Credit Ratings and Market Perception
In conjunction with this bond issuance, FIS also received improved ratings from three major credit agencies. Moody's upgraded its Corporate Family Rating from B3 to B2 with a stable outlook, while Fitch Ratings enhanced its Issuer Default Rating from B to B+. Standard and Poor's maintained a stable outlook for its current rating of B. These upgrades not only enhance the company's standing in the eyes of investors but also lower borrowing costs for future funding needs.

Strengthening Financial Position
In addition to the bonds, FIS has increased its existing revolving credit facility from 80 million euros to 160 million euros, further fortifying its liquidity position. Such measures are crucial for supporting the company’s growth ambitions while maintaining a prudent financial strategy. This proactive approach allows FIS to navigate the volatile pharmaceutical market effectively and seize new opportunities as they arise.

About FIS
Established in 1957, FIS is headquartered in Montecchio Maggiore, Italy, and has emerged as a leader in the development and production of pharmaceutical active ingredients. It operates three manufacturing sites across Italy and maintains commercial offices in North America and Japan, as well as operational facilities in China and India. With a workforce exceeding 2,300 employees, FIS has positioned itself as a reference point in the Contract Development and Manufacturing Organization (CDMO) sector globally.

Conclusion
The successful bond issuance is a testament to FIS’s robust market position and strategic execution. As the company looks towards the future, the financial resources acquired through this initiative will undoubtedly be instrumental in fueling growth and innovation within the pharmaceutical industry. FIS’s commitment to maintaining a strong financial foundation while pursuing its long-term strategic goals is a narrative that resonates well within the investment community. The path ahead is promising for FIS as it continues to navigate the complexities of the pharmaceutical landscape.

For further inquiries, please contact Micaela Colamasi, Head of Corporate Product Communication at FIS.