Lenzing AG Announces Capital Increase to Support Strategy

Lenzing AG has initiated a fully underwritten capital increase, targeting approximately EUR 300 million in gross proceeds. This move is designed to aid the company's "Grow Nonwovens, Reset Textiles" strategy and bolster its financial structure. Shareholders will be able to subscribe to 9 new shares for every 10 existing shares at a price of EUR 8.65 each. The capital increase is supported by Lenzing's major shareholders, the B&C Group and Suzano S.A., alongside Oberbank AG, all of which have committed to exercising their subscription rights.

The offering's approval by the Austrian Financial Market Authority is anticipated today, with trading on the Vienna Stock Exchange slated to begin soon. The raised funds will help Lenzing enhance its nonwovens sector, adjust its textiles division, and optimize its global production. Additionally, Lenzing aims to increase EBITDA by EUR 150 million within the medium term while reducing net leverage. The initiative strengthens shareholder equity and aligns with the company's strategic priorities.