Temenos Issues CHF175m Bond

Taking advantage of favorable market conditions, Temenos issued a senior unsecured bond with a coupon of 2% that matures in June 2022. This bond builds on the success of the previous two bonds issued by Temenos in March 2013 and March 2014.

The bond was well received, attracting strong demand across a broad spectrum of investors, including private banks, retail and institutional investors. The market appetite demonstrates the conviction in Temenos’ performance, both financial and operating.

The proceeds from the bond will be used for repayment of debt and general corporate purposes. Credit Suisse and BZ Bank executed the transaction on behalf of Temenos. The bond will be listed on the SIX Swiss Exchange.

Max Chuard, CFO of Temenos, said:

“I am very pleased by the strong market reception of our most recent bond offering, with appetite from a broad range of investors allowing us to raise new financing on such attractive terms. In particular this has been driven by the strength of our cashflows which remain at over 100% of EBITDA, and the ongoing reduction of DSOs which have been decreasing by around 15 days year-on-year. This latest debt raising further strengthens and diversifies our balance sheet, particularly given the 7 year tenure which provides visibility over a longer term. It also enables us to continue delivering on our strategic objectives, and allows us the flexibility to be responsive to opportunities as they arise.”