Vossloh AG announces hybrid bond issuances with top-tier legal advisors
On 27 January 2026, Vossloh AG, the German railway equipment manufacturer listed on the Xetra exchange, entered into agreements for the issuance of hybrid bonds. The company engaged two prominent law firms to advise on the transaction:
| Date | Source | Advisory firm | Client | Deal size |
|---|---|---|---|---|
| 27 Jan 2026 15:42 | rechtundpolitik.com | Freshfields Bruckhaus Deringer | Vossloh AG | Hybrid bond (details not disclosed) |
| 27 Jan 2026 11:42 | rechtundpolitik.com | White & Case | Jeffries GmbH (Vossloh subsidiary) | € 250 million hybrid bond |
Both agreements were announced on the same day, indicating a coordinated financing strategy. While the precise terms of the bonds—including maturity, coupon rate, and conversion features—are not disclosed in the public releases, the involvement of Freshfields and White & Case signals a high level of legal scrutiny and market confidence.
The hybrid bonds are expected to provide Vossloh with additional capital for its global operations, which include production of rail fasteners, rail switch systems, diesel locomotives, locomotive components, and related services such as rail construction, maintenance, electrical systems, and train protection and warning equipment. The financing will support the company’s ongoing investments in technology and infrastructure, as well as potential acquisitions or restructuring of existing debt.
Market context
The announcement came amid a broader environment of corporate financing activity involving several German industrial firms. In early January 2026, finance‑magazin.de reported on financing arrangements that also included BMW and Bertelsmann, underscoring the active use of hybrid instruments by German companies to raise capital in a low‑interest‑rate environment.
On 29 January 2026, the SDAX index recorded a modest decline of 0.86 percent, with Vossloh’s own shares posting a 1.47 percent gain to € 82.60. The company’s market capitalization stood at approximately € 1.57 billion, with a price‑earnings ratio of 27.59 and a closing share price of € 81.40 on 27 January 2026. The SDAX performance metrics indicated a slight overall negative trend for the index, but Vossloh’s share movement remained positive relative to the broader index.
Implications for investors
The issuance of hybrid bonds is likely to increase Vossloh’s leverage profile, but the company’s strong asset base and diversified product portfolio could mitigate associated risks. Investors should monitor the terms of the bonds once they are disclosed, particularly the conversion and redemption provisions that may affect the company’s future capital structure.
Overall, the coordination of legal advisory services and the timing of the announcement suggest that Vossloh AG is actively managing its capital structure to support ongoing operations and future growth within the competitive railway equipment sector.
