SAP lowers financing costs with new 2 billion euros revolver

FRANKFURT (Reuters) - German business software group SAP took advantage of favourable debt market conditions to sign a new revolving credit facility amounting to 2 billion euros ($2.68 billion) that "significantly lowers financing costs", it said on Thursday.

SAP will use the new revolver to refinance an existing credit facility of 1.5 billion euros, which was due to expire in 2015.

"With a maturity of 5 years and two 1-year extension options, SAP ensures significantly improved terms and conditions for the upcoming years," the company said in a statement, adding that a total of 27 banks were participating in the new facility.

It said the credit line may be used for general corporate purposes, and added that a possible future withdrawal is not bound to any financial covenants.

(Reporting by Christiaan Hetzner; Editing by Maria Sheahan)