Riga, 2015-06-04 11:07 CEST (GLOBE NEWSWIRE) -- The public announcement was made in the Republic of Latvia, in the Republic of Lithuania and in the Republic of Estonia. The yield to maturity range was determined from SW* +1.05% to SW +1.30%. Using the right stipulated in the Final Terms and taking advantage of investors’ demand, initially indicated aggregate principal amount of EUR 50 million during the placement period was increased to EUR 75 million. The total amount of the submitted purchase orders had reached EUR 87.05 million. The purchase orders were received from 25 investors, including asset management funds, insurance companies and banks in Latvia, Lithuania, Estonia, Germany, Austria and Finland.
The terms of the issue of the new series of notes under the second programme for the issuance of notes of Latvenergo AS are the following:
Serial number of series of notes: 1
Tranche: 1
Principal amount of the issue: EUR 75,000,000
Amount of the notes: 75,000
Nominal amount of the note: EUR 1,000
Annual interest rate (coupon): fixed, 1.9%
Issue price: EUR 998.572
Final yield to maturity: 1.922%
Issue date: 10 June 2015
Maturity date: 10 June 2022
ISIN code: LV0000801777
Use of Proceeds: Financing and refinancing of the eligible projects according to the Latvenergo AS Green Bond Framework
The notes will be listed on Nasdaq OMX Riga AS.
The issue of notes is being implemented under Latvenergo AS EUR 100 million second programme for the issuance of notes. The arranger of the issue of notes – SEB banka AS.
As previously reported Latvenergo AS is the first state-owned company in Eastern Europe to issue green bonds. The main requirement for green bonds is the use of the funds raised in the issuance process only for projects relevant to green thinking and related to renewable energy sources, improved energy efficiency and sustainable environment. The funds raised will be channelled to green-minded projects financed or part-financed by Latvenergo Group that concern generation as well as distribution and transmission network assets in accordance with Latvenergo AS Green Bond Framework, whereby the Center for International Climate and Environmental Research - Oslo, a Norwegian independent institute for interdisciplinary climate research, has issued a second-party opinion regarding the suitability of the notes as an investment in connection with certain environmental and sustainability criteria. The Center for International Climate and Environmental Research - Oslo has assigned to the Latvenergo AS Green Bond Framework the Dark Green shading, which is the highest possible assessment in the field of environment.
* a seven-year interest rate swap (fixed at 0.722% level)
Additional information:
Jānis Irbe
Group Treasurer
Phone: +371 67 728 239
E-mail: investor.relations@latvenergo.lv
About Latvenergo
Latvenergo Group is a pan-Baltic energy company, engaging in electricity and thermal energy generation and supply, electricity distribution services and management of transmission system assets. Latvenergo Group holds one-third of the entire Baltic electricity market, thus ensuring its leadership in the Baltic electricity supply. Latvenergo AS has been acknowledged as the most valuable company in Latvia for several years in a row. International credit rating agency Moody’s has assigned Latvenergo AS an investment-grade credit rating of Baa2/stable.
Latvenergo Group includes the parent company Latvenergo AS (electricity and thermal energy generation and supply) and its subsidiaries Latvijas elektriskie tīkli AS (management of transmission system assets), Sadales tīkls AS (electricity distribution), Elektrum Eesti OÜ (electricity supply in Estonia), Elektrum Lietuva UAB (electricity supply in Lithuania), Enerģijas publiskais tirgotājs AS (administration of electricity mandatory procurement process) and Liepājas enerģija SIA (electricity and thermal energy generation and supply), as well as Elektrum Latvija SIA (electricity supply), a subsidiary of Elektrum Eesti OÜ.
