Verallia: Filing of the Draft Offer Document Relating to the Tender Offer Initiated by BWGI; Consultation of the Group Lenders

PARIS--(BUSINESS WIRE)--Regulatory News:

Verallia (Paris:VRLA):

In connection with the tender offer¹ (the “Offer”) initiated by BWGI² (the “Offeror”), the draft offer document was filed today by the Offeror with the French financial markets authority (Autorité des marchés financiers) (“AMF”) and will be available today on the websites of Verallia (“Verallia” or the “Company”) (www.verallia.com) and the AMF (www.amf-france.org). The filing of the draft offer document with the AMF was accompanied by the publication by the Offeror of a regulated press release also available on Verallia’s website.

As initially announced, BWGI, the Company’s reference shareholder with 28.8% of the share capital and 28% of the voting rights, proposes to acquire the control of Verallia by way of a tender offer, at a price of 30 euros per share (2024 dividend of 1.70 euros attached), without delisting. This Offer is not subject to any success threshold other than reaching the regulatory threshold of more than 50% of the share capital or voting rights.

Verallia’s Board of Directors will meet on April 27, 2025 to examine the Offer. It will be up to the Board to issue a reasoned opinion on the Offer after having considered the report of the independent expert, Cabinet Ledouble, and the recommendation of the ad hoc Committee, composed exclusively of independent directors within the meaning of the AFEP-Medef Code. This reasoned opinion and the independent expert’s report will be made public as part of the Company’s draft response document, which will be filed with the AMF and will be the subject of a press release by the Company.

Impact of the Offer on the financings of the Group

In addition, Verallia announces that it has today initiated a process with its bank lenders, in order to maintain its bank financings in place in the event of completion of the Offer, to obtain within the next few weeks, by way of an amendment of the relevant credit agreements, a modification to the change of control mandatory prepayment clauses contained in its existing financings and in particular the syndicated credit agreement entered into on April 17, 2023³ and the revolving credit facility entered into on December 5, 2024⁴ (the “Existing Credit Agreements”).

On April 23, 2025, in order to cover the case where the consent of the bank lenders to the proposed amendments to the Existing Credit Agreements would not be potentially obtained, Verallia has entered into a commitment letter with a banking syndicate providing for the making available of “certain funds” financings through the signature, upon Verallia’s request, of an agreed form “backstop” credit agreement in order, in particular, to refinance all or part of the indebtedness owed under the Existing Credit Agreements⁵.

In the event that all or part of the credit lines made available under the backstop credit agreement are drawn down by the Company, the Company intends to refinance these credit lines, as the case may be, by arranging new bank and/or bond financing.

Verallia also intends to launch a consent solicitation in the next few days to the holders of its sustainability-linked bond issues maturing in 2028 (the “2028 Bonds”) and 2031 (the “2031 Bonds”) and issued respectively in May and October 2021⁶, in order to obtain their approval for a proposed waiver of the right of each holder of the 2028 Bonds and the 2031 Bonds to exercise their put option in the event of a change of control resulting from the completion of the Offer.

It should be noted that the bonds due 2032 issued in November 2024 by Verallia (the “2032 Bonds”) provide that the holders’ put option in case of change of control will only be triggered in the event that the change of control following completion of the Offer is accompanied by a withdrawal or downgrade below investment grade rating of Verallia’s long-term financial rating by S&P and/or Moody’s (a “Company Rating Event”), it being specified that a Company Rating Event will be deemed not to have occurred if the relevant rating agency does not publicly state or confirm that such Company Rating Event results, in whole or in part, from the change of control (actual or potential)⁷.

On April 23, 2025, Verallia has entered into a “certain funds” bridge loan agreement with a banking syndicate⁸, in order to cover the financing of the potential redemption of bonds for which the put option would be exercised, in the event of a total or partial failure of the consent solicitation referred to above.

In the event that all or part of the credit lines made available under the bridge loan agreement are drawn down by Verallia, Verallia intends to refinance these loans by arranging, as the case may be, a new bank and/or bond financing.

About Verallia

At Verallia, our purpose is to re-imagine glass for a sustainable future. We want to redefine how glass is produced, reused and recycled, to make it the world’s most sustainable packaging material. We work together with our customers, suppliers and other partners across the value chain to develop new, beneficial and sustainable solutions for all.

With almost 11,000 employees and 35 glass production facilities in 12 countries, we are the European leader and world's third-largest producer of glass packaging for beverages and food products. We offer innovative, customised and environmentally friendly solutions to over 10,000 businesses worldwide. Verallia produced more than 16 billion glass bottles and jars and recorded revenue of €3.5 billion in 2024.

Verallia's CSR strategy has been awarded the Ecovadis Platinum Medal, placing the Group in the top 1% of companies assessed by Ecovadis. Our CO₂ emissions reduction target of -46% on scopes 1 and 2 between 2019 and 2030 has been validated by SBTi (Science Based Targets Initiative). It is in line with the trajectory of limiting global warming to 1.5° C set by the Paris Agreement.

Verallia is listed on compartment A of the regulated market of Euronext Paris (Ticker: VRLA – ISIN: FR0013447729) and trades on the following indices: CAC SBT 1.5°, STOXX600, SBF 120, CAC Mid 60, CAC Mid & Small and CAC All-Tradable.

Disclaimer

Certain information included in this press release is not historical data but forward-looking statements. These forward-looking statements are based on estimates, forecasts and assumptions including, but not limited to, assumptions about Verallia's present and future strategy and the economic environment in which Verallia operates. They involve known and unknown risks, uncertainties and other factors, which may cause Verallia's actual results and performance to differ materially from those expressed or implied in such forward-looking statements. These risks and uncertainties include those detailed and identified in Chapter 4 "Risk Factors" of the Verallia universal registration document filed with the Autorité des marchés financiers ("AMF") on 27 March 2025 and available on the Company’s website (www.verallia.com) and that of the AMF (www.amf-france.org). These forward-looking statements and information are not guarantees of future performance. This press release includes summarized information only and does not purport to be exhaustive.

This press release does not contain, nor does it constitute, an offer of securities or a solicitation to invest in securities in France, the United States, or any other jurisdiction.

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