Debt Investors

DS Smith funds its operations from the following sources of capital: operating cashflow, borrowings, shareholders’ equity and, where appropriate, disposals of non-core businesses.

The Group’s objective is to achieve a capital structure that results in an appropriate cost of capital whilst providing flexibility in short and medium-term funding so as to accommodate material investments or acquisitions. The Group also aims to maintain a strong balance sheet and to provide continuity of financing by having a range of maturities and borrowings from a variety of sources.

Borrowing facilities

DS Smith finances its operations using a number of funding instruments, including Medium-term notes, private placement debt and bank borrowings.

Borrowing facilities as at 30 April 2020

Facility Currency Committed funds million Maturity £ million equivalent
Syndicated bank RCF GBP 1,400 2024 1,400
EMTN EUR 1,850 2022-25
1,608
EMTN GBP 250 2029 250
Term loan facilities EUR 254 2021-25
221
Private placement EUR 59 2020
 51
Private placement* USD 308 2019-22 239
Total       3,769

* Net of cross-currency interest rate swaps

Analysis of Gross Debt at 30 April 2020

Analysis of Gross Debt 2020.JPGAvailable committed facilities as at 30 April 2020

Available committed facilities as at 30 April 2020.JPG

DS Smith has been given a credit rating of BBB- by Standard & Poor’s.

Euro Medium-term Note Programme

Maturity date  Issued amount Coupon Interest paid Date  Minimum denominations
16 September 2022 €500m 2.25% annually 16 September €100k
26 July 2024 €750m 1.375% annually 26 July €100k
12 September 2026 €600m 0.875% annually 12 September €100k
26 July 2029 £250m 2.875% annually 26 July £100k