WalldorfSAP AG (NYSE: SAP) has successfully completed a $500 million US Private Placement transaction issued by SAP AG’s wholly owned subsidiary, SAP Ireland US-Financial Services Ltd. The transaction enhances the group’s financial flexibility by broadening its investor base and extending its overall maturity profile. Proceeds of the issue will be used to refinance existing group financial debt.

Due to SAP’s excellent credit profile, the transaction received strong demand in the US private placement market as demonstrated by a significant oversubscription. A group of 20 institutional investors participated in two tranches, a $300 million tranche with a five year maturity and a $200 million tranche with a seven year maturity. The interest rates on the notes in both tranches were below 3%, the lowest coupons seen in recent memory.

Bank of America Merrill Lynch, Barclays Capital and Deutsche Bank acted as joint agents and bookrunners for the transaction.


This posting shall not constitute an offer to sell or the solicitation of an offer to buy any Note, nor shall there be any offer, solicitation or sale of the notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The Notes were issued in a private placement transaction exempt from registration under the U.S. Securities Act of 1933, as amended (Securities Act). The Notes have not been and will not be registered under the Securities Act or any state securities laws. Further, the Notes may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements and, therefore, will be subject to substantial restrictions on transfer.