Statkraft issues new bonds totalling NOK 14.5 billion

| Source: Statkraft AS Statkraft AS

The Government has proposed amendments to the Act governing State Owned Enterprises. In this connection, transitional regulations have been set out for debt raised prior to the new legislation comes into effect to ensure that a state owned enterprise's creditors have the same protection against default that they have had before. The risk weighting in relation to the capital adequacy requirements will still be 10 per cent. This clarification has made it possible for Statkraft to issue new bonds in the Norwegian market. These new bonds total NOK 14.5 billion and have been issued to refinance long-term and short-term liabilities that fall due for payment before the end of the year, and to finance the acquisition of 45.5 per cent of the shares in Agder Energi.
 
The issue comprises a NOK 5 billion fixed rate bond that will mature in January 2007, a NOK 7 billion floating rate bond maturing in December 2007 and a fixed rate bond of NOK 2.5 billion maturing in November 2009. The issues have been arranged by Nordea, Pareto and Danske Bank respectively.
 
"We are very pleased that we have managed to make such a large bond issue at competitive prices in the Norwegian market", says Ola Idland, Senior Vice President. 
 
 
Statkraft is Norway's largest producer of electric power. The company's own production capacity is a good 42 TWh p.a., or about 1/3 of the country's total hydropower production. Statkraft has a staff of about 2,500, including the subsidiaries Skagerak Energi, Trondheim Energiverk and Statkraft Grøner. The company is Norway's largest land-based taxpayer. Statkraft has ownership interests in the following Norwegian energy companies: Agder Energi, BKK and Fjordkraft. Measured in size, the Statkraft Alliance ranks number 3 in the Nordic production market and is the second largest in the Norwegian consumer market.