Schneider Electric's €850 Million Bond Offering Successfully Completed

Schneider Electric has successfully completed a €850 million offering of senior unsecured bonds, convertible into new shares or exchangeable for existing shares, due 2034. This strategic move targets qualified investors, aligning with the company's broader finance strategy. The proceeds will be used to refinance existing bonds maturing in 2030 and for general corporate purposes. By offering a more favorable conversion price and lower coupon, Schneider Electric aims to manage dilution and optimize financing costs.

The bonds, carrying a fixed annual coupon of 0.25%, come with a conversion premium of 35% over the reference share price on Euronext Paris. This issuance reflects Schneider's commitment to maintaining a strong investment-grade profile while offering flexible redemption options to bondholders starting from October 2032.

Without a public offering component, the bonds were placed solely with qualified investors. Schneider Electric has also agreed to a 90-day lock-up period post-issuance to stabilize share performance. The company emphasizes that its offering complies with regulatory frameworks, ensuring no breach of securities laws in restricted jurisdictions.