Q-Park : Back into the HY market to finance its M&A strategy

Q-Park has just issued € 300m of new 5NC2 notes. Proceeds will be used to repay € 190m of drawn amounts under the RCF that were mostly used to finance M&A transactions, fund the acquisition of Bavaria in Germany of over € 70m, pay related fees and expenses, and increase cash on balance sheet levels. On a PF basis, net leverage stood at 6.5x as of end-March, or 0.1x lower than on a reported basis explained by the accretive acquisitions. Going forward, we expect Q-Park’s performance to remain positive supported by its strong pricing power and resilient business model. Deleveraging, however, could be limited amid aggressive shareholder distributions.