Debt & Ratings
Strategy and targets of debt financing
OMV’s financing strategy focuses on cash flow and financial stability. Principal targets are a positive free cash flow after dividends and a strong investment-grade credit rating on the basis of a healthy balance sheet and a mid/long-term leverage ratio of below 30%.
OMV covers its financing needs on the international capital and loan markets, aiming at a broad diversification of its debt investor base. Corporate bonds are the key element of the well-balanced debt maturity profile, complemented by ample committed credit facilities and other types of bank funding. All financing and treasury services are managed at the OMV Group level.
- Debt financing is principally raised on group level (only in specific and agreed cases external financing may be raised by group companies)
- Affiliates cover their financial requirements via group treasury
- Group liquidity and FX-operations are managed in group treasury
- Financial planning is consolidated in group treasury
- Risks are permanently monitored on group level and hedged, if economically sensible
OMV aims at a broad diversification of the debt investor base and funding sources and wants to establish a well balanced mix of debt maturities and fixed and floating interest rates. Maintaining the high credit quality is considered as a very important issue. OMV actively pursues a strong relationship with its debt investors.
Credit ratings
OMV is rated by Moody’s “A3” and Fitch “A-”
Moody’s „A3“ Senior Unsecured Issuer Rating and Fitch’s “A-“ Issuer Default Rating once more underpin OMV Group’s strong financial position.
Maintaining an investment grade credit rating has been a crucial and strategic objective of OMV. The strong credit profile affirmed by Moody’s and Fitch reflects the successful implementation of OMV’s strategy while keeping a very close eye on financial targets.
The rating itself provides information about the assessment of a company’s credit and financial position and is an important decision-making basis for the evaluation of the solvency especially for the valuation of bonds. The major three international rating agencies that are specialized in monitoring the companies’ financial standing are Fitch, Moody’s and Standard and Poor’s. The rating categories (AAA highest, D lowest) thereby represent a certain default risk.
| Date | Rating | Outlook |
|---|---|---|
| January 11, 2023 | A3 | Stable |
| July 7, 2021 | A3 | Stable |
| Date |
Rating |
Outlook |
|---|---|---|
| November 30, 2022 | A– | Stable |
| March 28, 2022 | A– | Stable |
OMV Debt Structure
Details about our principles of debt financing and the outstanding bonds can be found below.
Senior Bonds
| Date of issue |
Publicly traded |
Amount (EUR mn) |
Coupon (fix) |
Maturity mm/dd/yyyy |
Final Terms |
|---|---|---|---|---|---|
| June 2020 | XS2189613982 | 750 | 0.750% | 06/16/2030 | Download (PDF, 922,1 KB) |
| April 2020 | XS2154347293 | 500 | 1.500% | 04/09/2024 | – |
| April 2020 | XS2154347707 | 500 | 2.000% | 04/09/2028 | – |
| April 2020 | XS2154348424 | 750 | 2.375% | 04/09/2032 | – |
| July 2019 | XS2022093434 | 500 | 0.000% | 07/03/2025 | – |
| July 2019 | XS2022093517 | 500 | 1.000% | 07/03/2034 | – |
| December 2018 | AT0000A24UY3 1 | 300 | 1.750% | 12/10/2025 | – |
| December 2018 | XS1917590959 | 500 | 1.875% | 12/04/2028 | – |
| December 2017 |
XS1734689620 |
1,000 |
1.000% |
12/14/2026 |
– |
| September 2012 |
XS0834371469 |
750 |
3.500% |
09/27/2027 |
– |
Note: As of June 2023
1 Borealis Eurobond
Euro Medium Term Note (EMTN) Program
OMV’s Euro Medium Term Note (EMTN) program allows flexible placement of bonds, the latest prospectus can be found below.
EMTN Prospectus 2023 (PDF, 2,8 MB)
EMTN Prospectus 2022 (PDF, 3,5 MB)
Hybrid Bonds
On December 7, 2015, OMV issued subordinated hybrid notes in the amount of EUR 1.5 bn (two hybrid bonds, EUR 750 mn each). The EUR 750 mn hybrid bond issued in June 2011 was redeemed upon its first call date on April 26, 2018. In turn, on June 19, 2018, OMV issued new hybrid notes with a volume of EUR 500 mn. On September 1, 2020, OMV issued new perpetual, subordinated hybrid notes with a total volume of EUR 1.25 billion in two tranches. The first tranche has a volume of EUR 750 mn and a fixed interest rate of 2.50% per annum, while the second tranche has a volume auf EUR 500 mn and fixed interest rate of 2.875% per annum. One of the hybrid bonds issued in December 2015 in the amount of EUR 750 mn was redeemed on November 30, 2021.
The hybrid bonds have no scheduled maturity date and bear a fixed interest rate until the first call date. All hybrid bonds have received a 50% equity credit from rating agencies Moody’s and Fitch. They are classified as 100% equity under International Financial Reporting Standards (IFRS) and are thus not included in OMV’s reported total bond liabilities and total debt figures.
| Date of issue |
Publicly traded bonds |
Amount (EUR mn) |
Coupon (fix 1) |
Maturity |
|---|---|---|---|---|
| September 2020 |
XS2224439385 |
750 | 2.50% | Perp-NC6 |
| September 2020 |
XS2224439971 |
500 | 2.875% | Perp-NC9 |
| June 2018 |
XS1713462403 |
500 |
2.875% | Perp-NC6 |
| December 2015 |
XS1294343337 |
750 |
6.25% |
Perp-NC10 |
Note: As of November 2021
1 Until first call date