ARGAN signed a bridge-to-bond loan of €500 million

ARGAN is actively preparing for its 2026 bond refinancing and thus announced today the signing of a short-term credit contract for a bridge-to-bond loan in an amount of €500 million, with a banking pool led by J.P. Morgan, along Crédit Agricole CIB, BNP Paribas and Société Générale.

A short-term financing in an amount of €500 million to prepare for an upcoming bond maturity

ARGAN finalized today – with a banking pool that includes J.P. Morgan, CACIB, BNP and Société Générale – a bridge loan in an amount of €500 million.
This financing aims at preparing under the best conditions the upcoming bond refinancing, which should take place in 2026, for an initial bond issued in 2021 and maturing on November 17, 2026.
For an initial duration of 12 months starting on November 17, 2025, this loan can be extended, at the borrower’s discretion, for two successive periods of six months each, i.e., until November 17, 2027.

Fully met covenants

This refinancing includes the following covenants:

• A consolidated LTV ratio (EPRA LTV excluding duties) below 65%
• A secured LTV ratio below 45%
• An ICR ratio of at least 1.80
• A portfolio value (excluding duties) above €2 billion

At June 30, 2025, ARGAN presented indicators that were well above the requirements:

• An LTV EPRA ratio (excl. duties) of 42.3% (after recording 43.1% at 12.31.2024 and 49.7% at 12.31.2023), the EPRA LTV ratio (excl. duties) is defined as the ratio between consolidated net debt and the total value of the portfolio as determined by independent experts
• A secured LTV ratio of 30.8% (after recording 32.7% at 12.31.2024 and 36% at 12.31.2023), the secured LTV ratio is defined as the ratio between debt secured by guarantees and the total value of the portfolio as determined by independent experts
• An ICR ratio of 5.5 (after recording 4.4 at 12.31.2024 and 4.3 at 12.31.2023), the ICR (Interest Coverage Ratio) is understood as an issuer’s ability to cover its interest expenses from its current operating income
• A portfolio (excl. duties) of €4.0 billion (after recording €3.9 billion at 12.31.2024 and €3.7 billion at 12.31.2023), which is defined as the total value of the portfolio as determined by independent experts (excl. duties)

The soundness of ARGAN’s financial model, with rigorous debt management and sustainable profitable development, is thus strengthened by this short-term financing. Recognized with an Investment Grade rating (BBB-, stable outlook) awarded by S&P, ARGAN’s long-term financial strategy places it in a strong position to confidently approach the 2026 bond refinancing.