The European chemical industry is navigating a severe crisis marked by high costs and weak demand, which is causing corporate debt ratios to rise and creating significant nervousness in credit markets. Martin Bastian, Managing Director and Head of Chemicals, Europe, comments in Börsen-Zeitung that after a series of plant closures by non-German companies, German companies could follow suit. He explains that companies with increased debt are facing a real problem with refinancing, a challenge that can likely only be solved by fresh capital from investors or the sale of parts of the company.
Read the article here. You can find a translated version here.