Lenzing completes capital increase to raise 301.2 million euros

Austrian wood-based cellulose fibre producer Lenzing AG (Lenzing) has successfully completed its capital increase against contribution in cash with subscription rights for existing shareholders, raising gross proceeds of approximately 301.2 million euros (338 million dollars).

The transaction, which was announced on October 1, 2026, involved the offering of 34,756,362 new no-par value bearer shares at a subscription price of 8.65 euros per share. At the conclusion of the subscription period, existing shareholders exercised rights for 34,411,626 new shares, representing a subscription rights exercise ratio of 99%.

“The successful completion of the capital increase is a strong signal of confidence in Lenzing and our strategic transformation,” said chief executive officer Georg Kasperkovitz.

Funding corporate strategy and medium-term financial targets

Proceeds from the capital increase will be deployed to strengthen the capital structure and support the implementation of the strategy titled 'Grow Nonwovens, Reset Textiles'. The strategic framework focuses on expanding the nonwovens division, sharpening the textiles business toward premium segments, and strengthening pulp and biorefinery operations.

Through these initiatives, Lenzing aims over the medium term to increase EBITDA by 150 million euros, achieve an EBITDA margin between 20 percent and 25 percent, and reduce net leverage below 2.5 times EBITDA.

Chief financial officer Mathias Breuer added that the capital increase significantly strengthens the equity base and provides financial flexibility to manage upcoming maturities and fund the transformation.

Shareholder syndicate secures majority participation

A syndicate formed by B&C Group and Brazil-based hardwood pulp producer Suzano S.A. (Suzano) subscribed for 18,159,291 new shares, which represented approximately 52.25 percent of the rights offering. Austrian financial institute Oberbank AG subscribed for 1,344,177 new shares, accounting for approximately 3.87 percent of the total offering.

Managing banks sold the remaining unsubscribed shares directly in the market. Settlement of the transaction and delivery of the new shares are scheduled for October 23, 2026, subject to registration of the capital increase in the companies register. Trading of all new shares will commence on the Prime Market segment of the Vienna Stock Exchange under existing ticker.