BayWa AG Proposes Adjustments to Restructuring Agreement

BayWa AG has reached a preliminary agreement to adjust its restructuring plans with key creditors and major shareholders. The plan includes extending the restructuring period and financial liabilities until the end of 2030, alongside interest relief. To boost economic equity, financial liabilities up to EUR 700 million will be converted into a subordinated instrument.

The plan requires approval from relevant parties by fall 2026. Key shareholders will temporarily transfer their shares to a trustee. If they contribute at least EUR 220 million during a planned capital increase in 2029, the shares will revert to them; otherwise, they may be sold. The company plans to sell its Heating & Mobility division by the end of 2029 and use the proceeds to repay debts.

BayWa AG will focus on Agriculture, Agricultural Equipment, and Building Materials. Meanwhile, its subsidiary, BayWa r.e. AG, will transfer shares to a transformation shareholder, expecting to repay up to EUR 900 million in liabilities from the sale proceeds.