euro adhoc: D+S europe AG
Capital measures
Ad-hoc Release Pursuant to § 15
WpHG
D+S europe AG:
Decision to forego capital increase
Acquisitions to be financed by third-party borrowings
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
27.09.2006
HAMBURG, Sept. 27, 2006. D+S europe AG (ISIN DE0005336804) will forego the issue of up to 2.5 million shares authorized at the 2006 annual shareholders meeting. This decision was made today by Management and the Executive Committee of the Supervisory Board. Due to improved bank ratings, D+S europe AG has been able to increase its borrowings through a syndicate led by two well-known major German major banks by approx. 50% and achieve a significant reduction in interest rates by nearly one- third. The company therefore has short-term access to a good EUR25 million in additional credit, the use of which would entail virtually no change in annual interest expense. D+S europe AG has consequently opted for a more attractive way to finance further acquisitions.
At a good double the EBITDA of EUR 35 million expected for 2007, D+S europe AGs level of debt will remain very moderate after expansion of its line of credit, especially since this figure does not include further increases in income from non-organic growth.
One of the significant short-term goals of the acquisition strategy of D+S europe AG is expand its added-value solutions in the area of conventional telephony to include mobile platforms in order to secure a position of leadership in this important growth area of end-user communication.
D+S europe AG is listed on the SDAX segment of the Frankfurt Stock Exchange. The company is present in 11 German states as well as in Austria, Poland and the Czech Republic with over 3,000 group employees and ranks among Germanys largest outsourcing service providers for marketing and customer-process management. (www.dseurope.ag)
end of announcement euro adhoc 27.09.2006 12:15:08
Contact:
D+S europe AG:
Kapstadtring 10
22297 Hamburg
Investor Relations
Henning Soltau
Telephone: +49.40.4114-3331
investor-relations@dseurope.ag
Branche: Media
ISIN: DE0005336804
WKN: 533680
Index: CDAX, Classic All Share, Prime All Share
Börsen: Frankfurter Wertpapierbörse / regulated dealing/prime
standard
Börse Berlin-Bremen / free trade
Hamburger Wertpapierbörse / free trade
Baden-Württembergische Wertpapierbörse / free trade
Börse Düsseldorf / free trade
Bayerische Börse / free trade