UAB Green Bonds and Tender Offer: A Financial Milestone
UAB’s Green Bonds: A Significant Step in Sustainable Finance
UAB "Atsinaujinan?ios energetikos investicijos" recently marked a substantial achievement in the realm of sustainable finance with the public offering of its Green Bonds. As part of this initiative, the company successfully distributed an impressive 32.274 MEUR in Green Bonds, which represent the first series and tranche issued at a yield of 8.0%. This was made possible under its ambitious EUR 100 million unsecured fixed-interest note programme, which shows the company’s commitment to innovative financing methods focused on environmental sustainability. The Bank of Lithuania had previously approved the base prospectus for this programme, truly setting the stage for a significant movement in the Baltic financial market.
Purpose of the Green Bonds
The proceeds from this Green Bond issuance are strategically aimed at refinancing existing bonds, specifically those marked by ISIN LT0000405938. By reallocating funds in such a manner, UAB not only sustains its operations but also strengthens its financial footing, exemplifying how companies can leverage green financing to create lasting impacts.
Listing Plans and Important Dates
Following the issuance on June 13, 2025, the company anticipates that the new bonds will be available on the Baltic Bond list of Nasdaq Vilnius within 30 days of the issue date. This anticipated listing is not just a procedural formality; it represents a significant step in enhancing visibility and credibility in the investment community. Investors can look forward to seeing these bonds traded on a reliable platform, which will undoubtedly augment investor confidence.
Details of the Bond Issue
The nominal value of each bond is set at EUR 100,000, with provisions for increments of EUR 1,000. The total aggregated nominal value of the bonds issued reaches EUR 32,274,000, showing not just the scale but the strong demand for such green financing options. Moreover, the maturity date for these bonds is established for December 13, 2027, which offers a clear timeline for investors to consider.
Cash Tender Offer: Creating Opportunities
In tandem with the green bonds issuance, UAB also executed a cash tender offer to enhance its investment strategy. On June 12, 2025, the company closed the offer, inviting holders of EUR 2021/2025 notes (ISIN LT0000405938) to submit their notes for redemption at 99% of the denomination per note. As a result, UAB will buy back 10,102 units of these notes for a total investment of approximately EUR 10,000,980. This proactive measure not only allows for a more manageable structure of outstanding debt but also reflects UAB's commitment to maintaining a healthy financial position.
Impact on Investors
For investors who opted to subscribe through the exchange offer, the newly issued notes will be credited to their investment accounts on June 16, 2025. This timely processing ensures that these stakeholders remain engaged and informed of their investment statuses, reinforcing UAB's commitment to transparency along the way.
Company’s Future Prospects
After the tender offer and issuance of new bonds, the nominal value of the outstanding EUR 2021/2025 notes (ISIN LT0000405938) will stand at EUR 54,134,000. This meticulous management of both existing and new financial instruments showcases UAB’s agility in navigating the financial landscape. With FM? “Orion Securities” acting as the arranger and dealer and TGS Baltic providing legal counsel, UAB's strategies are well-supported by experienced partners.
Contact for Further Information
For those seeking more information regarding this transaction or the company’s ongoing initiatives, Mantas Auruškevi?ius, the Manager of the Investment Company, is the designated point of contact. Interested parties can reach him at mantas.auruskevicius@lordslb.lt. The proactive approach demonstrated by UAB is paving the way for further developments in sustainable financing, making the company one to watch in the evolving market of green investment.
Frequently Asked Questions
What is the significance of UAB's Green Bonds?
The Green Bonds represent a strategic effort by UAB to finance sustainable projects while refinancing existing debts, aiding in eco-friendly growth.
How much was raised through the Green Bonds issuance?
UAB successfully raised 32.274 MEUR through the issuance of Green Bonds under its fixed-interest note programme.
When are the bonds expected to be listed?
The bonds are expected to be listed on the Baltic Bond list of Nasdaq Vilnius within 30 days of their issuance date.
What was the purpose of the cash tender offer?
The cash tender offer aimed to allow holders of EUR 2021/2025 notes to relinquish their notes, thereby simplifying UAB's debt management.
Who can investors contact for more information?
Mantas Auruškevi?ius is the contact person for further inquiries regarding UAB and their financial offerings.
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