On 10 December, Daimler AG successfully completed the spin-off and listing of Daimler Truck Holding AG on the Frankfurt Stock Exchange. The transaction represents the largest spin-off in Germany and one of the three largest spin-offs in Europe so far.
As one of the world’s largest commercial vehicle manufacturer with over 40 production facilities and more than 100,000 employees, Daimler Truck is expected to qualify for the DAX in the first quarter of 2022.
BNP Paribas led the transaction as Financial Advisor and Listing Agent for Daimler and was Joint Bookrunner on Daimler Truck’s inaugural bond offering, a $6 billion multi-tranche bond.
“Now we are looking forward to use the creative opportunities as an independent company with our great global team – for even more entrepreneurial success in the future. Everyone should benefit from this – our workforce, our customers and, of course, our shareholders,” said Martin Daum, Chairman of the Board of Management of Daimler Truck Holding AG in the stock exchange hall in Frankfurt.
As part of the changing market environment, the operational requirements for Daimler Truck are changing rapidly and continuously. New competitors are challenging traditional business models. At the same time, technological change, driven by electrification and digitalization, requires substantial investment in research and development. The spin-off will allow Daimler Truck to accelerate research and investments on its path to net-zero, with a greater focus on battery electric as well as hydrogen based fuel-cell electric engines, and efficient mobility, with autonomous software-driven trucks and buses.
This landmark transaction represents yet another milestone in the long-standing and trusted relationship between Daimler and BNP Paribas.
Thierry Varène, Global Head of Large Clients, BNP Paribas
Thierry Varène, Global Head of Large Clients at BNP Paribas, said: “BNP Paribas acted as Financial Advisor and Listing Agent for Daimler on this spin-off. This landmark transaction represents yet another milestone in the long-standing and trusted relationship between Daimler and BNP Paribas. We are convinced that both companies, Daimler Truck Holding AG and the future Mercedes-Benz Group AG, will successfully protect and further grow their market leading positions in their respective fields. We will support both companies notably on their transition to a carbon free future.”
On 2 December, Daimler Truck successfully priced a $6 billion multi-tranche bond offering. This was the first step to take out parts of the financing related to the spin-off. Daimler Truck´s strong credit story attracted significant investor interest, with orderbooks reaching $15 billion. BNP Paribas and the other financial advisors led this landmark offering.
The Daimler Truck spin-off marks yet another multi-billion spin-off in Germany led by BNP Paribas as Financial Advisor and Listing Agent, following the successful spin-off of Siemens Energy in 2020. BNP Paribas´ market leading ECM and Advisory franchise is a trusted enabler to win these landmark transactions and execute best in class.