Key Themes


In 2020, Covid-19 led to tightening liquidity in the commodities sector, as some banks reduced their exposure to it. LDC’s solid reputation, extensive geographic footprint and diverse funding portfolio ensured the Group was relatively unaffected by such decisions.

Interest rates declined sharply, as central banks launched quantitative easing to support growth during the pandemic, which gave the company access to cheaper financing solutions.

Careful cash management throughout the year allowed significant headroom in credit lines and sustained our strong liquidity profile, supported by close monitoring of working capital allocations for business needs, erring on the side of prudence in the context of liquidity risks.

Our first-ever public credit rating by S&P Global Ratings assigned LDC an investment grade rating of ‘BBB-’ with a positive outlook, giving the Group broader access to debt capital markets.

The subsequent successful launch of a €600 million bond listed on the Luxembourg Stock Exchange saw orders in excess of €3.3 billion from more than 250 investors.

Furthermore, by doubling its European Commercial Paper program to US$1 billion, the Group further reinforced access to short-term liquidity to fund business needs.

You may also be interested in