DEAG Deutsche Entertainment Aktiengesellschaft: Corporate Bond 2023/2026 with a volume of EUR 50 million successfully placed in full – issuance significantly oversubscribed

Corporate News

DEAG: Corporate Bond 2023/2026 with a volume of EUR 50 million successfully placed in full – issuance significantly oversubscribed

• Early closure of the offer due to high demand
• Proceeds to be used to implement the company’s dynamic organic and inorganic growth strategy and to refinance the Bond 2018/2023

Berlin, 26 June 2023 – DEAG Deutsche Entertainment Aktiengesellschaft (“DEAG”) has successfully completed the placement of its Corporate Bond 2023/2026 (ISIN NO0012487596) with an issue volume of EUR 50 million. The issue was oversubscribed by a significant margin and the offering was accordingly terminated early today. The annual fixed interest rate was set at 8.00% during the book building process. DEAG considers the positive feedback by capital markets as validation of its strategy to continue the Company’s dynamic organic and inorganic growth course. In addition, the proceeds from the issue will be used to refinance the Corporate Bond 2018/2023.

DEAG Deutsche Entertainment AG’s offering consisted of an exchange offer including a multiple purchase option to the creditors of the Corporate Bond 2018/2023 (ISIN DE000A2NBF25), a public offering via subscription through Deutsche Börse and a private placement. The high demand for DEAG’s Corporate Bond 2023/2026 was driven by institutional and private investors alike from Germany, Europe and overseas. The volume tendered for exchange amounts to around 30% of the outstanding bond and will be allocated at approx. 65%.

DEAG manages an attractive national and international M&A pipeline and has advanced conversations with multiple targets of which some might conclude already in the second half of 2023. A focus area of potential acquisitions will be to further strengthen DEAG’s ticketing activities and the further expansion into new European markets. DEAG will also continue to drive the development of its own event formats which benefit from higher than average margin such as the Christmas Garden and its festival portfolio across music genres. For the full year 2023, Group revenue is expected to exceed again EUR 300 million with a further improvement in EBITDA (2022: approx. EUR 31 million).

“DEAG’s operational strength, its strategy and our company’s positive prospects have convinced investors. I am extremely satisfied with the success of the bond placement, for which national and international demand was extremely high. We will continue our growth course And I am convinced that we will soon be welcoming new companies to the DEAG family, opening up more new markets and thus further expanding our strong market position in Europe,” said Prof. Peter L.H. Schwenkow, CEO of DEAG.

“We would like to thank all investors for the confidence they have shown in DEAG. The response from Germany and abroad was equally high. This bond offers investors an attractive investment opportunity and at the same time secures an attractive financing instrument for DEAG as part of our capital mix to finance additional growth in the years ahead,” added Roman Velke, CFO of DEAG.

All subscription orders submitted in the course of the public offering via Deutsche Börse’s Direct Place platform have been allocated in full up to a volume of EUR 5,000 per order, and 25% for order volumes above this up to a maximum volume of EUR 25,000, rounded to whole bonds in each case.

The DEAG Corporate Bond has a term of three years. The issuance of the bond was accompanied by IKB Deutsche Industriebank AG and Pareto Securities AS, Frankfurt Branch, as Joint Lead Managers.

The inclusion of the bond in stock exchange trading on the Open Market of Deutsche Börse AG is scheduled for 12 July 2023. It is planned that trading will commence on 27 June 2023. Inclusion in the Nordic ABM, a self-regulated marketplace organised and operated by the Oslo Stock Exchange, will be obtained within six months after issuance of the bond.

About DEAG

DEAG Deutsche Entertainment Aktiengesellschaft (DEAG), a leading entertainment service company and live entertainment provider, produces and promotes live events of all genres and sizes in Europe. With its group companies, DEAG has been present at 20 locations in its core markets of Germany, Great Britain, Switzerland, Ireland and Denmark. As a live entertainment service provider with an integrated business model, DEAG has extensive expertise in the conception, organisation, promotion and production of events.

Founded in Berlin in 1978, DEAG's core business areas today include Rock/Pop, Classics & Jazz, Family Entertainment, Spoken Word & Literary Events, Arts+Exhibitions and Ticketing. Live Entertainment for all generations including Arts+Exhibitions are important building blocks for the further development of DEAG's own content.

For around 6,000 events, over 10 million tickets are sold annually for own and third-party content - a continuously growing share of these is sold via the group's own e-commerce platforms myticket.de, myticket.at, myticket.co.uk, gigantic.com and tickets.ie.

DEAG is thus excellently positioned for further growth.

Investor & Public Relations
Axel Mühlhaus, edicto GmbH
Eschersheimer Landstraße 42
60322 Frankfurt am Main
Germany
Phone: +49 69 905505-52
E-Mail: deag@edicto.de