German sportswear giant Adidas has announced that it has secured a €500m (£399m) revolving credit facility for its long-term financing.
The facility was arranged because Adidas’s previous €2bn (£1.6bn) credit facility, which it obtained in October 2005, expires this year.
The new five-year facility incorporates two one-year extension options exercisable at the end of the first and second year.
“The success of the transaction shows once more the strong standing the Adidas Group enjoys in the international capital markets,” said Robin J. Stalker, chief financial officer at Adidas.
“Throughout the last few years, we have continuously strengthened our capital structure and diversified our financing. The ongoing strength of our cash flow generation allows us to reduce the size of the new revolving credit facility.”
Earlier this month Adidas said it expects to achieve record growth this year in its football category as a result of its involvement in the Euro 2012 championships.
Adidas has said that it anticipates that sales of its football-related product for UEFA Euro 2012 competition will exceed its previous record sales of €1.5bn (£1.20bn)from the World Cup 2010.